The Government Pension Fund Norway (GPFN), managed by Folketrygdfondet, achieved a result of NOK 4bn in the third quarter (Q3) of 2025, equivalent to a 1 per cent return – 0.25 percentage points higher than its benchmark index.

The results also showed that at the end of the quarter, the fund’s capital stood at NOK 407bn, which Folketrygdfondet said is a “new record high”.

Both equities and fixed income contributed positively to GPFN’s return, with the equity portfolio up 1.2 per cent and the fixed income portfolio up 0.7 per cent in Q3.

Folketrygdfondet noted that consumer durable companies drove growth in the equity portfolio, while sectors such as healthcare lagged. In the fixed income portfolio, stable interest rates and credit spreads supported positive returns.

Folketrygdfondet CEO, Kjetil Houg, highlighted that the Nordic high-yield market continues to show “strong momentum”, having grown to become the third largest in the world.

"In the equity market, it is encouraging that we are continuously improving Nordic asset management and increasingly able to seize opportunities outside Norway," he added.

Folketrygdfondet also provided details on the establishment of the Government Fund in Tromsø, passed into law by the Norwegian Parliament in June 2024.

The fund, which invests in smaller listed companies in the Nordics, has invested NOK 4.5bn of its initial NOK 15bn capital by the end of Q3.

The capital may be increased to NOK 30bn once some experience has been gained. The Norwegian Ministry of Finance has set a NOK 5bn threshold before the measurement of return and risk comes into effect.

“The portfolio build-up is well underway, and we have approved 140 companies for investment,” Houg said.

“The experience so far confirms that there are good investment opportunities for a long-term investor, with many interesting quality companies in the Nordic market for smaller listed companies.”

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