The Government Pension Fund of Norway
The Government Pension Fund (GPF) is the state owned investment fund of Norway. While the fund is 100% controlled by the government, the GPF is managed by the Norges Bank Investment Management (NBIM). It is a continuation of the former Petroleum Fund, which was established in 1990. The Norwegian Storting adopted the Act relating to the Government Pension Fund in 2005. The Ministry of Finance is responsible for the management of the Fund, and has delegated responsibility for the operational management of the Fund's international assets to NBIM. The capital is invested in non-Norwegian financial instruments (bonds, equities, money market instruments and derivatives), and in 42 developed and emerging equity markets and 31 currencies for fixed income investments. NBIM manages the Fund partly internally and partly by engaging external managers.
Investment Strategy
The GPF is invested in over 7,000 companies worldwide. Currently, the fund is prevented from taking more than a 5% stake in companies and the fund might invest in list stock; however, there is a proposal that the fund will be able to increase its stake in companies to up to 15% and be able to invest in pre-listed stocks. They are also considering investing in the property sector.