Norway's Tech-Heavy Wealth Fund Reaches $1.8 Trillion
Norway's $1.8 trillion wealth fund boasts a tech-dominated top ten, as the emergence of artificial intelligence (AI) raises concerns over a potential correction in AI-driven stock rallies.
AI and Semiconductor Boom Boost Fund
The fund's portfolio, which includes nine out of its ten largest holdings in technology stocks, has benefited from AI advancements and the surging demand for semiconductor components. Norges Bank Investment Management (NBIM), the world's largest investor in publicly traded stocks, increased its holdings in Apple, Microsoft, and Nvidia compared to the previous year.
Apple, Microsoft Stakes Valued at Billions
The fund's 1.22% stake in Apple was valued at $46.2 billion, while its Microsoft stake was worth $43.8 billion at year-end. NBIM also raised its positions in Alphabet, Amazon, Meta Platforms, Broadcom, and Taiwan Semiconductor Manufacturing.
Investments Align with Benchmark Index
Established in the 1990s to invest Norway's oil and gas revenues, the fund follows a benchmark index based on parliamentary guidelines. Key figures for 2024 are expected to be released on Wednesday morning.
Diversification and Oil Holdings
Despite its tech focus, the fund invests in over 8,000 companies globally, with 71.4% of its portfolio allocated to equities. It increased its positions in energy giants Exxon Mobil and Chevron while reducing holdings in Shell and TotalEnergies.