Nordic pension funds reassess US asset holdings amid rising risk

Pension funds across Nordic countries are re-evaluating their investment exposure to U.S. assets, with some already selling off government bonds, Walter Bloomberg reported. Funds in Sweden, Denmark, and Finland have stated that the risk premium on U.S. stocks, bonds, and the dollar has increased. The report explained that discussions to diversify away from the U.S. market are intensifying due to heightened risks from geopolitical tensions and policy uncertainty. This development follows a previous warning from U.S. President Donald Trump, who stated there would be strong retaliatory measures if European nations were to sell their holdings of American assets, including government bonds and other securities.