Russia Ukraine conflict

Norway’s sovereign wealth fund CEO warns difficult market outlook from war, inflation

Published: Updated:
Enable Read mode
100% Font Size

Norway’s $1.2 trillion sovereign wealth fund, the world’s largest, expects difficult market conditions in the time to come, affected by geopolitical events and inflation, its chief executive said on Tuesday.

Inflation, already on the rise before the war in Ukraine, has continued to increase, while interest rates are still very low and share prices at the moment remain high, he said.


For the latest headlines, follow our Google News channel online or via the app.

“The geopolitical consequences of the war are difficult to predict, but we probably face the greatest changes for 30 years,” Nicolai Tangen said in prepared remarks published ahead of his testifying in front of parliament’s finance committee.

“There is little doubt that growing frictions between superpowers and a reversal of globalization will affect the markets,” he added.

The Norwegian fund, which invests all its assets in foreign stocks, bonds, real estate and renewable energy projects, has “nowhere to hide” and must manage the risk that comes with exposure to global markets, he added.

“All this taken together means that we have a rocky ride ahead,” Tangen said.

Read more:

Norway, Singapore wealth funds invest in India’s largest IPO

Ukraine war causes $78 billion loss for Norway’s sovereign fund

Fitch revises Saudi Arabia’s outlook to ‘positive’ from ‘stable’

Top Content Trending