Norges Bank Investment Management

Overview

Norges Bank Investment Management (NBIM) is the entity responsible for managing the Norwegian Government Pension Fund Global, commonly known as the Oil Fund. Established to ensure the long-term management of revenue from Norway's oil and gas resources, the fund aims to benefit both current and future generations of Norway. As one of the world's largest sovereign wealth funds, NBIM's objective is to generate the highest possible return on the fund in a safe, efficient, responsible, and transparent manner, adhering to government guidelines. The fund's investments are diversified across various asset classes, including equities, fixed income, real estate, and renewable energy infrastructure, with holdings in approximately 9,000 companies worldwide. This extensive portfolio makes the fund the largest single owner in the global stock markets, owning almost 1.5 percent of all shares in listed companies globally. The fund also owns hundreds of properties in major cities and has invested in renewable energy infrastructure since 2021. NBIM operates with a global presence, with offices in Oslo, London, New York, and Singapore, bringing it closer to the markets it invests in and strengthening its relationships with partners worldwide. The fund's value has seen significant growth, reaching a record 20 trillion Norwegian kroner (approximately $1.8 trillion) in December 2024, nearly quadrupling Norway's annual GDP. This growth is attributed to increased oil and gas revenues and rising stock markets. Major holdings include U.S. government bonds and shares in companies like Microsoft, Apple, and Nvidia. The fund's growth was further propelled by global economic stimulus during the COVID-19 pandemic and a surge in natural gas prices following the Russia-Ukraine conflict. In March 2025, NBIM announced the acquisition of a 49% stake in two offshore wind farms under construction in Denmark and Germany from RWE for 1.4 billion euros ($1.5 billion). The purchase includes stakes in RWE's Nordseecluster and Thor wind projects, expected to have a combined capacity of 2.64 gigawatts, enough to power over 2.6 million households. The deal reduces RWE’s net cash investments by about 4 billion euros, while RWE will continue to handle construction and operation. The fund's leadership is committed to responsible investment practices, aiming to promote long-term value creation at the companies it owns and minimize negative effects on the environment and society. This commitment is reflected in its ethical guidelines, which exclude investments in companies with violations of human rights or that produce certain weapons. The fund's governance structure ensures that important decisions concerning the level of risk assumed have the support of the fund's owners, represented by the Norwegian government and the Storting. The Ministry of Finance has overall responsibility for the fund and issues guidelines for its management. Norges Bank is responsible for managing the fund, with the Executive Board delegating the operational management to NBIM. The fund's future value depends on sustainable growth, well-functioning markets, and value creation at the companies it owns. As of March 2025, the fund's value was 18,526 billion Norwegian kroner, with investments allocated as follows: 70% in equities, 27.7% in fixed income, 1.9% in unlisted real estate, and 0.4% in unlisted renewable energy infrastructure. Despite challenging market conditions, the fund's return was 0.16 percentage points better than the benchmark index, equivalent to 29 billion Norwegian kroner. The fund's global presence and diversified investment strategy enable it to navigate various market conditions effectively, ensuring the long-term growth and stability of Norway's sovereign wealth.

Investment Focus

• Responsible investment practices
• Diversified global portfolio
• Adherence to government guidelines
• Commitment to sustainable growth
• Focus on long-term value creation
• Ethical investment standards
• Global market presence
• Expertise in various asset classes
• Strong governance structure
• Transparency and accountability
• Risk management capabilities
• Environmental and social responsibility
• Adaptability to market conditions
• Focus on future generations' welfare
• Continuous portfolio optimization

Portfolio Companies