Norway's state pension fund saw a global return of 9.4%, or 990 billion kroner ($111 billion), in the first half of 2021, according to fund manager Norges Bank Investment Management (NBIM) on Wednesday.
The return on the fund's equity investments was 13.7%, the return on the fixed-income investments was -2.0%, whereas investments in unlisted real estate returned 4.6%. The return on unlisted renewable energy infrastructure was -1.9%.
'The equity investments had the most positive contribution to the return in the first half of the year, and especially the investments within the sectors of energy and finance. The investments in energy companies returned 19.5%,' said CEO of Norges Bank Investment Management Nicolai Tangen.
The kroner strengthened against several major currencies during the first half of the year but currency movements contributed to a decrease in the fund's value by 79 billion kroner. In the first half of the year, a withdrawal of 147 billion kroner was made from the fund.
Out of the fund value of 11,673 billion kroner as of June 30, 72.4% was invested in equities, 25.1% in fixed income, 2.4% in unlisted real estate, and 0.1% in unlisted renewable energy infrastructure.
1 krone equals US$0.11
By Murat Temizer