Elo is approaching the one-billion-euro mark in Finnish growth investments – quarterly investment return is positive in a challenging market

The pension insurance company Elo is increasing its investments in Finnish growth companies. According to CEO Carl Pettersson, Elo's investments in this segment are already approaching the €1 billion threshold, which corresponds to approximately three per cent of Elo's investment portfolio. In a challenging operating environment, Elo's investments generated a total of €66 million in January–March 2026. 

For more than 10 years, Elo has been one of the most active investors in the Finnish growth market and has invested in more than 470 growth companies during its history. Combined investments and open commitments in Finnish growth companies and funds are approaching the billion mark this year.  

− Last year, we invested more than €100 million both directly in growth companies such as IQM and ReOrbit, and especially in domestic private equity funds. We will accelerate this year, and already in the first half of the year we will invest another €100 million in growth, says CEO Carl Pettersson. Our investment in the Finnish growth field has been profitable over the past ten years, as the return on these investments has been about 14 per cent per year. Therefore, we see that our basic task of investing pension assets in a profitable and secure manner has also been fulfilled in Finnish growth investments.  

According to Pettersson, Finland should now invest in creating a growth-oriented and positive atmosphere. − As per our strategy, we believe in Finland and Finnish companies. Because growth comes from people, we have established a growth unit that supports fast-growing companies in matters related to work ability, says Pettersson. 

Geopolitical uncertainty was reflected in developments in the equity and fixed-income markets 

Investment markets were characterised in the early part of the year by geopolitical crises, fluctuations in inflation expectations and uncertainty in the fixed-income market. Towards the end of the review period, a threat of an energy crisis caused by the state of war in the Persian Gulf heightened the nervousness of the financial markets, which weakened the performance of both equity and fixed-income markets. Elo's net return on investment was 0.2% in the review period. 

− Despite short-term market fluctuations, we carry out long-term and systematic work in our investment operations, says Chief Investment Officer Jonna Ryhänen. 

Record sales in insurance business 

− We managed to increase our sales of both TyEL and YEL policies to a record level, and this shows that our services are regarded as effective. This is definitely a success for everyone at Elo, and it shows our competence, competitiveness and attitude, commented Pettersson.  

At the end of the review period, Elo managed 45,400 TyEL policies and 83,500 YEL policies. The total number of insured employees and self-employed persons was 446,800. The cumulative market share in the sales of new YEL policies was 35.1%, and the corresponding figure for TyEL policies was 38.4%.  

Following its new strategy, Elo focuses on delivering strong customer value 

The crisis in Iran turned growth prospects into inflationary and economic concerns, and its economic impact will depend on the duration of the crisis and the scale of the measures. Financing conditions have tightened and stronger inflation expectations may force central banks to keep interest rates higher for longer, adding to uncertainty in investment markets.  

In Finland, a protracted crisis would increase the caution of companies and households. If the crisis were to be short-lived, expectations would return to growth factors. 

Elo will continue to actively implement the new strategy, bringing its customers even greater added value with scalable work ability services, a new growth company concept, and an increased focus on data utilisation. Adequate solvency is ensured in all market situations.  

The reform of the employment pension system is progressing in Parliament, and changes related to investment activities will enter into force on 1 July 2026. The entrepreneurs' pension system will be reformed and the entrepreneurs' pension contribution will probably be determined more clearly based on their actual income in the future. The aim is to increase the fairness and predictability of the system, thereby strengthening the confidence of entrepreneurs in their pension and social security. 

For more information: 

Chief Executive Officer Carl Pettersson 
Chief Investment Officer, Deputy CEO Jonna Ryhänen 
Interview requests: Miia Pullinen / Communications, tel. +358 40 588 3637 
 
Interim Report Q1 2026 > 
Presentation Q1 2026 > 

The figures are unaudited, and the comparison figures in brackets are for 31 March 2025 unless stated otherwise. 

Key figures January–March 2026 

• Overall result was EUR -181 (-284) million 
• Net return on investment was 0.2% (-0.4%), or EUR 66 million.  
• The market value of investments was EUR 34.3 billion (34.4 billion at the end of 2025). The ten-year average return on investment was 6.0%, which equals a real return of 3.7%. 
• The solvency ratio decreased to 123.1% (123.8% at the end of 2025), and the solvency position was 1.4 (1.4 times at the end of 2025) the solvency limit.