Quarterly loss of Norway’s sovereign wealth fund amounted to $34 billion – Kommersant

Norwegian State Pension Fund – Global, the world’s largest sovereign wealth fund, reported for the third quarter. As follows from reporting Fund, losses for the reporting period amounted to 374 billion Norwegian kroner ($34 billion). The fund explains this by high interest rates and the state of the global economy.

According to the deputy head of the Norwegian Bank, Trunn Grande, “this quarter for the stock market was weaker than the previous two. This was especially evident in the technology, industrial and consumer sectors, which led to negative indicators.” As Mr. Grande notes, when “interest rates rise so often and so quickly, obviously there will be companies that will have to refinance and fund themselves at higher rates. And the question is whether they can all do this while maintaining profitability.” The fund’s funds are currently invested in approximately 9,200 companies in 70 countries. The fund’s market value is now $1.3 trillion, and investments in securities, the fund’s largest asset class, account for 70.6% of the fund’s value, or $940 billion. The Norwegian fund’s investment income fell 2.1%.

Alena Miklashevskaya