Norway wealth fund posts record $184.7 billion first-half profit

Norway's $2.3 trillion sovereign wealth fund posted a record 1.753 trillion kroner ($184.7 billion) first-half profit, a 9.4 percent return driven by a 25.3 percent surge in technology stocks.

"The result is driven by good returns in the equity market, particularly from Asian technology stocks," Chief Executive Nicolai Tangen said.

Equity investments returned 13.0 percent in the first half, with technology and telecommunications the best-performing sectors, while consumer discretionary fell 4.0 percent. Fixed income returned 0.9 percent, unlisted real estate 3.0 percent and unlisted renewable energy infrastructure -0.2 percent. The fund's value rose to 22.683 trillion kroner as of June 30, up from 19.998 trillion kroner three months earlier.

The result beat the previous half-year record of 1.663 trillion kroner set in the second half of 2025 and compares with a profit of 698.47 billion kroner a year earlier. Norges Bank Investment Management also disclosed its first public investment in SpaceX, holding a 0.05 percent stake valued at about $1.2 billion.

The fund swung back to positive returns in the second quarter, posting an 11.5 percent gain after a 1.9 percent loss in the first three months of the year. Equity investments returned 16 percent in the second quarter after a 2.6 percent decline in the first.

The fund's value increased by 1.416 trillion kroner during the half, though a stronger krone reduced the value by 427 billion kroner. Inflows amounted to 89 billion kroner after deduction of costs.

Technology accounts for a third of equities

Technology made up 32.2 percent of the fund's equity holdings at the end of June and returned 25.3 percent in the half, while telecommunications returned 42.9 percent. The fund's relative return of 0.22 percentage points above its benchmark, equivalent to 45 billion kroner, was driven by equity management's 0.23 percentage point contribution, while asset allocation subtracted 0.14 percentage points.

The fund holds stakes in about 7,200 companies, owning almost 1.5 percent of all shares in the world's listed companies. Its largest holdings include a 1.3 percent stake in Nvidia worth $61.8 billion and a 1.2 percent stake in Apple valued at $52.7 billion.

SpaceX joins the portfolio

NBIM disclosed on its website that it holds a 0.05 percent stake in Elon Musk's SpaceX valued at around $1.2 billion as of June 30, the fund's first public investment in the rocket company. The unlisted holding sits alongside real estate and renewable energy infrastructure investments that together account for 2.1 percent of the portfolio.

Fixed-income investments returned 0.9 percent in the half, with government bonds returning 0.5 percent. The fund's three largest government bond holdings were issued by the US, Japan and Germany. Real estate investments returned 5.9 percent, with listed real estate returning 9.8 percent and unlisted properties 3.0 percent, driven by US office and logistics assets.

NBIM voted at 6,899 shareholder meetings in the first half, on 75,757 resolutions, and held 2,058 meetings with companies. Management costs, including performance-based fees to external managers, came to 4.3 basis points of assets under management.

The record result gives Norway's government more fiscal headroom as it draws on the fund to cover the gap between petroleum revenue and budget spending. The fund's equity share rose to 72.1 percent from 71.3 percent at the end of 2025, and expected volatility on the portfolio stood at 11.1 percent at the end of June. With technology now a third of equity holdings, the fund's returns are increasingly tied to the AI-driven rally in Asian and U.S. chipmakers.

This article is for informational purposes only and does not constitute investment advice.