Norway's Fund Braces for 'Risk' It Actively Funds
📰 THE STORY: Bloomberg reports that Norway’s $2.1 trillion sovereign wealth fund has been advised by a government-appointed panel to increase its preparedness for growing geopolitical risks, urging a focus on market access and risk management in a fragmented global landscape. 🔍 WHAT THEY'RE NOT TELLING YOU: Historical Context: Norway, despite its self-proclaimed role as a peace broker, has
consistently profited from (and thus, to an extent, incentivized) global conflict through its sovereign wealth fund's massive investments. In 2022, the fund held investments in 11 countries where the Norwegian government had already issued travel warnings due to conflict or instability. For example, it increased its stake in companies like Lockheed Martin (one of the largest arms manufacturers) in
recent years, whose profits soar during wars like those in Ukraine and Gaza. Double Standard: Western media often frames 'geopolitical risk' as external threats to financial stability, rather than acknowledging how Western economic policies, arms sales, and financial investments directly fuel these instabilities. When the US freezes Afghanistan's $7 billion in central bank assets (2022), leading
to widespread starvation, it's framed as 'sanctions'; when its allies' investments are threatened by the resulting instability, it's 'geopolitical risk.' Follow the Money: The Norwegian fund, while divesting from some companies due to ethical concerns over the years, continues to hold stakes in numerous firms implicated in human rights abuses or benefiting directly from conflicts. For instance, it