Oct
28
Norway Oil Fund Rejects Divestment Option Even as Cash Runs Out
By-
CEO says fund to use cash flow coming in to adjust portfolio
-
Says will reinvest European dividends in other markets
For Norway’s $860 billion wealth fund, selling assets represents a cost it would rather avoid.
The world’s biggest sovereign wealth fund says it won’t resort to divestments even as the government prepares to make withdrawals for the first time next year. That development and the fund’s dwindling returns had fueled speculation it will need to sell assets in Europe if it’s to follow a strategy of increasing its emerging market holdings.
But for now, the fund’s cash flow of about 200 billion kroner ($24 billion) from its investments provides a buffer as the environment in which it operates is turned on its head…
Norway Oil Fund Rejects Divestment Option Even as Cash Runs Out
