Norway’s Government Pension Fund Global (GPFG), managed by Norges Bank Investment Management (NBIM), made a negative return of -2.1 per cent in the third quarter of 2023.

This equates to a loss of NOK 374bn. Broken down to asset classes the return on equity investments was -2.1 per cent, fixed-income investments was -2.2 per cent, unlisted real estate returned -3.3 per cent and the return on unlisted renewable energy was -2.4 per cent.

Despite the negative return, the fund’s return was 0.17 percentage point better than the return on the benchmark index, equivalent to NOK 27bn.

"The stock market saw a weaker quarter compared to the two previous quarters. It was particularly the tech, industrials and consumer discretionary sectors which contributed negatively to the return," NBIM deputy CEO, Trond Grande, said.

The krone strengthened against several of the main currencies during the quarter. The currency movements contributed to a decrease in the fund’s value of NOK 264bn. In the third quarter, inflow into the fund amounted to NOK 139bn.

The fund had a value of NOK 14,801bn as at 30 September 2023. Seventy point six per cent of the fund was invested in equities, 27.1 per cent in fixed income, 2.2 per cent in unlisted real estate, and 0.1 per cent in unlisted renewable energy infrastructure.

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