Norway’s sovereign wealth fund, the world’s largest, gained 692 billion kroner ($115 billion) last year as stocks rallied, forcing it to pare its equity holdings for the first time ever to comply with risk mandates.
Shipbuilders in Australia are trying to lock in defense contracts with Prime Minister Tony Abbott’s government as the nation’s biggest manufacturing union warned the industry may lose 3,000 jobs unless projects are secured.
Oeystein Olsen, the governor of Norway’s central bank, said he’s planning to petition the government to allow the nation’s $830 billion wealth fund to cut bond holdings further to help it generate bigger returns.
Norway needs to ease control over its $810 billion sovereign wealth fund to allow it to pursue greater returns, according to the head of the Liberal Party, which supports the minority government in parliament.
Norway Finance Minister Siv Jensen said the nation’s $820 billion wealth fund should pursue the highest returns amid opposition demands that the investor place more focus on ethics and the environment.
Morgan Stanley’s planned sale of a physical oil unit to Russia’s OAO Rosneft will bring the bank in line with regulators’ efforts to reduce risks posed by such businesses, Chief Financial Officer Ruth Porat said.