OSLO, NORWAY—The Norwegian Government Pension Fund Global achieved returns of 15.9% in 2013 as its equity investments outperformed benchmarks, helping the fund break the $800 billion (€600bn) mark.
This according to a recent report from the news site Investments and Pensions Europe.
The fund’s value rose by around $200 billion (NOK1.2trn), to $830 billion (NOK5trn). More than 55% of that came from investment returns, while the remainder of the fund’s increase came through capital inflows from the government and returns on currency conversion.
It received around $400 million (NOK239bn) from the Norwegian government in inflows, investing 8% into emerging markets, 8% into real estate and around 62% into equities. The fund currently invests in 82 different countries, an increase of 10 from 2012.
Yngve Slyngstad, chief executive at Norges Bank Investment Management, which manages the fund, told IPE that real estate investments would continue in coming years.
“The year’s results were driven by equity investments, despite various sources of uncertainty in the global economy, stock markets made broad gains in 2013,” he added.
The fund also added six additional markets to its equity portfolio, with investments in Kuwait, Oman, Tunisia, Vietnam, Slovakia and Pakistan.
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