RT.com
01 Feb 2023, 04:13 GMT+10
One of the world's largest investment funds lost over $160 billion in 2022 amid market volatility
Norway's sovereign wealth fund, Government Pension Fund Global, posted a record loss of 1.64 trillion kroner ($164.4 billion) in 2022, according to data published on the fund's website on Tuesday.
The return on investment last year was negative 14.1%, according to the released figures. The fund's equities holdings posted a 15.3% loss, while its fixed-income portfolio was down 12.1%.
Nicolai Tangen, CEO of Norges Bank Investment Management, the entity that manages the fund, commented: "The market was impacted by war in Europe, high inflation, and rising interest rates. This negatively impacted both the equity market and bond market at the same time, which is very unusual. All the sectors in the equity market had negative returns, with the exception of energy."
Despite the record loss, the overall value of the fund increased by 89 billion kroner ($8.9 billion) year-on-year. This was largely due to a record 1.1 trillion kroner ($109 billion) inflow, a figure roughly three times larger than the previous high from 2008. Currency fluctuations also helped, adding some 642 billion kroner ($64 billion) to the fund's value.
The fund, which reportedly lost the status of the world's largest sovereign wealth fund to China Investment Corporation, had a value of 12.4 trillion kroner ($1.2 trillion) as of December 31, 2022.
The fund invests the revenue from Norway's oil and gas sales, which grew substantially last year after the country became Europe's largest gas supplier due to the drop in Russian flows. The fund holds stakes in some 9,300 companies globally and owns the equivalent of 1.3% of all listed stocks.
For more stories on economy & finance visit RT's business section
(RT.com)
Get a daily dose of Munich Metro news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to Munich Metro.
More InformationDUBLIN, Ireland: Local authorities throughout Ireland are set to spend 350 million euros to house the country's homeless in 2023, ...
LONDON, England: Despite rising air fares, a potential global economic recession and risks of gridlock at some airports in Europe ...
DUBLIN, Ireland: Ireland's life expectancy has seen the greatest gains among all EU nations, according to one of the country's ...
PARIS, France: Amidst the mass deaths of dolphins and porpoises in recent years, France's highest administrative body has ordered the ...
BRUSSELS, Belgium: While chairing a meeting of EU foreign and defense ministers in Brussels this week, European Union (EU) foreign ...
DUBLIN, Ireland: Ireland's Department of Justice has acknowledged that it would arrest Russian President Vladimir Putin on charges of war ...
WASHINGTON D.C.: After several high-profile near collision incidents, the US Federal Aviation Administration (FAA) has issued a safety alerts to ...
PHNOM PENH, Cambodia: Two Cambodian opposition figures--- Yim Sinorn and Hun Kosal--- have been charged under the country's rarely used ...
WASHINGTON D.C.: The US Supreme Court has ruled that a deaf student in Michigan can sue his public school district, ...
MANILA, Philippines: Under a defense agreement with the U.S., four new military bases will be located in various parts of ...
WASHINGTON D.C.: The US Centers for Disease Control and Prevention (CDC) has reported that infections by the potentially deadly fungus ...
WASHINGTON D.C.: The US Supreme Court will hear a trademark dispute over a dog toy shaped like a Jack Daniel's ...