Despite political conflicts and global unrest, the stock market has shown resilience and strength throughout the year. The Stockholm Stock Exchange’s general index has surged by nearly 9%, while major U.S. indices like the Dow Jones and S&P 500 have seen gains of around 25%, primarily fueled by the tech sector and emerging trends such as artificial intelligence and cryptocurrencies. Bitcoin, the leading cryptocurrency, has skyrocketed by over 150% in value, reaching unprecedented highs. Precious metals like gold and silver have also experienced a remarkable year, with price increases of approximately 25%.
On the currency front, the Swedish krona has faced some challenges, with a noticeable depreciation. The Euro has appreciated by 2.5%, and the U.S. dollar has strengthened from 10 to 11 kronor.
In the realm of stock trading, Avanza’s Private Banking clients have made strategic moves throughout the year. Popular purchases include stalwarts like Investor and Volvo, as well as Handelsbanken. NIBE, despite a challenging year marked by a decline of over 40%, has also attracted investor interest. Danish pharmaceutical company Novo Nordisk has emerged as a favorite due to its breakthrough drug Ozempic, while SAAB has seen its stock price surge by over 50%.
Conversely, on the selling side, American electric car maker Tesla has been a common choice for profit-taking after a significant run-up in its stock price. Companies like Ericsson and Telia have also been frequently offloaded by investors. Acquired firms like gaming company Kindred and pharmaceutical company Calliditas Therapeutics have also seen divestment.
In terms of fund investments, cost-effective options have been in high demand, with popular choices including funds like Avanza Global and Länsförsäkringar Global Index, both of which are global index funds. Additionally, fixed-income funds such as AMF Räntefond Kort have also garnered significant interest.
Conversely, technology-focused funds like TIN Ny Teknik and Swedbank Robur Ny Teknik, along with small-cap fund Avanza Småbolag by Skoglund, have faced challenges this year. With declining interest rates, the tide may turn in favor of small-cap companies in the coming months.
Overall, despite the turbulence in global markets, savvy investors have navigated the uncertainties and capitalized on opportunities presented by the evolving economic landscape.