Norway’s oil fund recommends bond portfolio shake-up

Yngve Slyngstad

Norges Bank Investment Management (NBIM) has come out in favour of a major redesign of the way its bond portfolio returns are benchmarked, according to a letter from senior managers to the government.

The benchmark’s current set-up is failing to reflect the fund’s “most important risk characteristics” adequately, Norges Bank governor Øystein Olsen and NBIM chief executive Yngve Slyngstad wrote in the letter, dated September 1.

Bonds make up around 32.4% of the 7.7 trillion krone portfolio ($1

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