Norway wealth fund should reduce equity universe – report
Norway wealth fund should reduce equity universe – report
The Storting, the Norwegian parliament in Oslo.
The number of companies in the world s largest sovereign wealth fund s equities universe should be reduced by 25% to 30%, the country s Ministry of Finance said.
In its annual recommendation to Norway s Parliament, the ministry said it wants to simplify the Government Pension Fund Global, Oslo s equity index since a high number of companies can contribute to increased management complexity and costs.
The fund s equity index included about 8,800 companies at the end of 2020. In 2007, the ministry decided to include small companies in the fund s benchmark index, which saw the number of stocks increase to about 7,000 from 2,400.