$34 billion loss recorded during Q3 for Norway’s sovereign wealth fund

It was recently recorded that Norway’s sovereign wealth fund lost 33.80 billion in the third quarter of 2023 due to heavy drops in the value of equities and bonds.

During the July-September period, Norway’s sovereign wealth fund’s return on investment was minus 2.1.

Equities in the country recorded a 2.1% loss. Real estate assets reported a loss of 3.3%, and fixed-income investments returned a loss of 2.2%.

Speaking to Reuters, Trond Grande, Deputy CEO of Norges Bank Investment Management, explained that the broad-based nature of the decline “maybe indicates that there is a little bit of a fundamental macro factor driving this and … one would point to the continued rising interest rates.”

Grande said that equities over the past year have outperformed compared to other asset classes.