Core Insights - The Nobel Prize fund has grown from 31 million kronor to nearly 6.8 billion kronor by the end of 2024, achieving a growth of nearly 220 times since its inception in 1901 [1][2] - The Nobel Foundation employs a careful investment strategy that includes external management, diversified asset allocation, and responsible investment principles to ensure the sustainability of the prize fund [1][6] Investment Performance - The Nobel Foundation's total asset value reached 67.97 billion kronor by the end of 2024, an increase of 5.64 billion kronor from 62.33 billion kronor at the end of 2023 [2] - The annualized investment return over the past five years was 9.2%, with a return of 11.6% in 2024 [2][5] - The foundation aims for an average annual return of at least 3% after inflation adjustments to cover its expenses [2] Asset Allocation - As of the end of 2024, the Nobel Foundation's investment portfolio consisted of 66 billion kronor in various assets, including equity funds (56%), real estate and infrastructure funds (9%), fixed income and cash (12%), and alternative assets (24%) [2][3] - The foundation's investments are managed by external institutions, including BlackRock, Swedish Commercial Bank, Sequoia Capital, and several top hedge funds [3][4][5] Governance and Management - The Nobel Foundation's investment committee is responsible for asset allocation decisions and selecting external managers, focusing on their investment philosophy, performance history, and risk management [6] - The foundation adheres to the United Nations-supported Principles for Responsible Investment (PRI), integrating environmental, social, and governance (ESG) considerations into its investment processes [6][7] Future Outlook - The foundation's CFO expressed confidence in the long-term sustainability of the fund, emphasizing a balanced approach to risk and investment goals [7] - The potential integration of advanced systems and AI in investment management is anticipated to enhance decision-making and efficiency in the future [7]