The reason why Magnus Billing has to resign as CEO is that Alecta believes that it will win back trust among customers. So says Ingrid Bonde, who is herself Chairman of the Board of Alecta.
"We have turned around how to regain confidence and concluded that new management is the best way.
She believes that the decision was very difficult.
"We regret that this is happening. Magnus Billing has done a fantastic job for many years, but we have come to the conclusion that a fresh start is needed.
Will continue to take risks
Although she sees that confidence has been damaged by the losses that the company received due to the investments it made in three companies that were dragged into the banking crisis in the US, she believes that Alecta will continue to take risks.
"We must learn from what has happened. We have launched a strategic review to see what we should do in the future in order to still be able to take risk and provide returns to savers, but at the same time avoid this type of loss.
Watch Ingrid Bonde talk about why she herself remains in the post of chairman in the clip.