Norway US$1.7 trillion wealth fund reports tech-stock driven loss
The world’s biggest single owner of listed companies, lost 0.6%, or US$40 billion, in the first three months of the year
[OSLO] Norway’s US$1.7 trillion sovereign wealth fund lost less than its benchmark in what was a roller-coaster quarter for markets globally, with the decline largely caused by a drop in the value of technology companies.
Norges Bank Investment Management, the world’s biggest single owner of listed companies, lost 0.6 per cent, or US$40 billion, in the first three months of the year, it said in a statement on Thursday (Apr 24). The fund, largely an index tracker, lost 1.6 per cent on stocks and gained 1.6 per cent on its fixed-income investments.
Its performance was 0.16 percentage point better than the benchmark in the quarter.
“The quarter has been impacted by significant market fluctuations,” chief executive officer Nicolai Tangen said in the statement. “Our equity investments had a negative return, largely driven by the tech sector.”
The worst of the recent markets turmoil is not reflected in the first quarter earnings. The fund’s value dropped by about US$200 million in the days following US President Donald Trump’s sharp increase in tariffs in early April. BLOOMBERG
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