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Norwegian Oil Fund Gains $37 Billion as Stock Markets Rally


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Norwegian Oil Fund Gains $37 Billion as Stock Markets Rally

Business

Category: Financial / Investment

The $728 billion Government Pension Fund Global returned 5.4 percent in the first three months of the year, the Oslo- based investor said today. Stocks returned 8.3 percent, while bond investments climbed 1.1 percent. Real estate investments lost 0.3 percent.

“The favorable performance reflects the strong push in equity markets, particularly in January and February,” said Yngve Slyngstad, chief executive officer of Norges Bank Investment Management, the central bank’s asset management arm, in a statement. “Among the major stock markets, the U.S. and Japanese markets made the largest contributions.”

Equities rallied as central banks in Europe, the U.S. and Japan signaled more stimulus measures to bolster growth. Policy makers from Washington to Tokyo have injected money into their financial systems by buying bonds, while the European Central Bank has said it stands ready to implement a similar policy to backstop the region’s distressed nations.

“It’s of clear importance to the risk and return of the world’s capital markets,” Slyngstad said in an interview.

Source: Bloomberg

Published: September 17, 2019