Emerging markets with large return potentials attract Swedish fund savers as net assets hit record high.

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Net savings in funds listed in Sweden amounted to 115 billion kronor ($16 billion) last year. This is the highest level of savings recorded during the same year since such statistics began to be published in 1985, the statistics office said Monday.

“There has been an enormous interest in investment funds during 2009 and the massive recovery can be seen as a demonstration of strength for fund saving”, Pia Nilsson, Managing director of the Swedish Investment Fund Association, said in a statement.

“The interest in funds has been larger than ever and the recovery of the Swedish stock market and of many emerging markets has been tremendous”.

Also in January the increase continued, according to the association. It is emerging markets that attract most fund savers.

”The January figures show that many fund savers are interested in funds with large return potentials and are willing to take on risk”, said Pia Nilsson, pointing out that equities should be seen in the long term and that diversification is important.

Last month 9.7 billion kronor were invested in funds, of which equity funds accounted for almost 75 percent. Eastern Europe- and emerging market funds attracted most capital, 3 respectively 2 billion kronor in net sales.

The total fund wealth continued to increase during the fourth quarter to a total of 1,393 billion kronor, an increase of 118 billion kronor compared to the third quarter.