Amazon entry spurs PFA to redesign investment strategy

The impact is of internet behemoth Amazon is huge, and if the company seriously decides to enters the Danish market, the move will have hefty repurcussions, according to Finans. PFA has already redesigned its investment strategy in anticipation.

Jeff Bezos, founder of Amazon

Amazon is one of the biggest companies in the world, so if the digital giant comes to Denmark with its physical grocery store Amazon Go, it could transform conditions for stores, the property market and investors, according to news service Finans.

In the US, Amazon's digital domination and the roll out of Amazon Go stores has led to a plateauing of the conventional physical retail trade and many empty stores, which has lowered prices.

PFA believes there will not be room for all current shopping centers in Denmark -- a thesis it has taken that into account in its investment strategy, Finans writes.

"Amazon has affected our investment strategy in the property market which means that we've stayed away from shopping centers for some time now, unless they are high end with luxury goods and entertainment," says Anders Damgaard, CFO of PFA Pension.

He says he believes many companies in the retail industry will be severely affected if Amazon decides to conquer the North.

English Edit: Lisa Castey Hall Nielsen

More from AMWatch

Danish FSA issues warning over SFDR implementation

The Danish FSA, Finanstilsynet, states that asset managers are using the EU’s sustainable finance disclosure regulation to signify quality, which is not the point of the legislation. In fact, the FSA states it is the opposite of what the EU intended.

Further reading

Latest news

AMWatch job

See all jobs

See all jobs

Watch job

See all jobs

See all jobs

Latest news from FinansWatch (dk)

Latest news from EnergyWatch

Latest news from ShippingWatch