After years of soaring profits, Norway’s wealth fund has ended up a staggering $A233 billion in the red as Ukraine, inflation and rate hikes took their toll.
Norway’s wealth fund posts record $233 billion loss
Norway’s wealth fund, one of the world’s largest investors, has posted a record loss of 1.64 trillion crowns ($A233 billion) for 2022, bringing to an end a three-year run of soaring profits as stocks and bonds were hit by the Ukraine war and inflation.
The previous largest loss was 633 billion crowns during the 2008 financial crisis.
“The market was impacted by war in Europe, high inflation and rising interest rates,” chief executive Nicolai Tangen said on Tuesday.
“This negatively impacted both the equity market and bond market at the same time, which is very unusual.”