Nordea Offers Private Equity Bond To Individual Investors

by Carla Johnson, Investors Offshore.com

04 May 2006

Nordea, a leading Baltic and Nordic region financial services group, is offering private investors the opportunity to invest in private equity markets - traditionally the preserve of large institutional investors - via a new kind of bond.

To make the increasingly popular private equity segment more of an attractive alternative for private investors, Nordea has developed a new type of instrument which differs from institutional private equity funds, in that redemption is possible before maturity under certain conditions.

Nordea is the first Nordic bank to launch this type of private equity product onto the market.

The investment activities will be managed by Nordea Investment Management, which has over five years' experience in successfully managing private equity funds intended for institutional customers.

The subscription period of the bond began on 26 April and will run until 9 June. The places of subscription are Nordea Private Banking, Nordea Private Wealth Management and Nordea Investment Management.

With 11 million customers, Nordea has some EUR154 billion of assets under management. Its largest shareholder is the Swedish state, which owns a 19.9% holding in the firm. Other major shareholders are Nordea Danmark fonden with 4.0% and Alecta with 2.7%.

The company's shares are listed in Stockholm, Helsinki and Copenhagen.

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