"We will not reach the 7.1% goal with the existing portfolio," SSH board member Nada Drobne Popovič told a conference in Ljubljana on Monday.

The 7.1% target is in line with a government document confirmed earlier this year that mandates return on equity of the SSH portfolio rise to 8% by 2020.

Drobne Popovič said two-thirds of the portfolio were strategic investments, in particular in the energy and infrastructure sectors, which require pursuing not only economic but also strategic goals and the public interest.

The holding proposes that the target returns be determined by sector rather than for the entire portfolio, she said.

SSH's goal is to reach a portfolio-wide return of 6.1% in 2018 and 6.4% in 2019.

Drobne Popovič's statement was echoed by Finance Minister Mateja Vraničar Erman, who said returns were an important indicator but were not the only one.

"To me, the provision of effective public service and good infrastructure is at least as important," she said.

The minister was also hopeful that future results would show the state is a good custodian of equity stakes and that the existing system of management was beneficial for everyone in the long term.

SSH's performance was discussed at a conference organised by the holding that focused on results for 2016 and plans for 2018.