Friday, 24 August 2018

Norway oil fund should stay in oil and gas — government report | Financial Times

Norway oil fund should stay in oil and gas — government report | Financial Times:

Norway should stay invested in oil and gas shares, according to a government-commissioned report that looked into whether the world’s largest sovereign wealth fund should divest.

The centre-right government in Oslo is not obliged to follow the report but is set to give its own answer in the coming months after the $1tn fund itself recommended selling out to avoid being over-exposed to oil. 

“Divestment of the energy stocks in the [oil fund] is not an effective insurance against a permanent decline in oil prices. The energy stocks only contribute marginally to Norway’s oil price risk,” said Oystein Thogersen, the commission’s chairman.

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