Danish Pension Fund AkademikerPension to Divest US Treasury Holdings

AkademikerPension, a Danish pension fund managing roughly $25 billion in assets, is preparing to exit its US Treasury holdings by the end of the month, as per Bloomberg.  

The move reflects growing unease among European institutional investors over US fiscal discipline, political unpredictability and long-term credit sustainability. 

Rationale Behind the Treasury Exit 

The fund held approximately $100 million in US Treasuries at the end of 2025, primarily for liquidity and risk management purposes.  

However, management believes viable alternatives now exist that can meet these needs without exposure to what it sees as rising sovereign risk. Concerns include the trajectory of US government finances, potential pressure on institutional independence and expectations of a structurally weaker dollar. 

Geopolitics Reshape Safe-Haven Thinking 

Beyond macro fundamentals, geopolitical developments have accelerated the reassessment.  

Escalating rhetoric over Greenland and the increasing use of economic leverage in foreign policy have prompted European investors to rethink reliance on US assets traditionally viewed as safe havens.  

The shift reflects a broader realisation across Europe of the need for greater financial autonomy. 

Broader Trend Among Danish Pension Funds 

AkademikerPension is not alone. Several large Danish pension funds have reduced or exited US Treasury exposure in recent months, aligning portfolio strategies with concerns around debt sustainability and policy volatility.  

While US equities and corporate credit remain core allocations, sovereign exposure is increasingly being trimmed to improve diversification. 

Read More: RBI Proposes Linking BRICS Digital Currencies to Boost Cross-Border Payments! 

Conclusion 

AkademikerPension’s planned Treasury exit highlights a subtle but meaningful shift in institutional risk perception, where geopolitical stability and fiscal credibility are increasingly central to sovereign asset allocation decisions. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.  

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.