Exceeds NOK 400 billion and first investment from Tromsø
The Government Pension Fund Norway, managed by Folketrygdfondet, achieved a result of NOK 31 billion in the first half of 2025. This corresponds to a return of 8.31 percent. The fund capital stood at NOK 405 billion at the end of the half-year.
Both equities and fixed income contributed positively to the return for the Government Pension Fund Norway. The equity portfolio rose by 11.3 percent, while the fixed income portfolio increased by 3.3 percent in the first half. Financial sector companies were the main drivers on the equity side, while sectors such as healthcare declined. Stable interest rates and credit spreads contributed to the return in the fixed income portfolio. The half-year result is 0.21 percentage points above the benchmark index.
“A broad-based upswing on the Oslo Stock Exchange boosted the result. We also deliver strong management and are ahead of the market. We are pleased that the Government Pension Fund Norway has surpassed NOK 400 billion,” says CEO Kjetil Houg.
The second-quarter result was 5.23 percent, which is 0.21 percentage points above the benchmark index.
First Investment from Tromsø
In June 2024, the Norwegian Parliament passed the law establishing the Government Fund in Tromsø. The fund will invest in smaller publicly listed companies in the Nordic region. The initial capital is NOK 15 billion, which may be increased to NOK 30 billion once some experience has been gained.
“In the first half, we recruited a team of five people, moved into a new office, and held an official opening attended by the Minister of Finance. Before the summer, we also made the first investment, and the fund is now in a build-up phase,” says Houg.
Finland Leads the Nordic Region
There is significant variation in the Nordic equity markets in the first half of the year. The Finnish market leads with a rise of 16.0 percent, followed by Norway at 13.8 percent and Sweden at 1.7 percent. The Danish market is affected by a decline in the healthcare sector, with a drop of 14.6 percent. Figures are measured in local currency.
“The Nordic market has performed well overall so far this year, despite concerns over U.S. tariffs and a sharp decline in major healthcare stocks such as Novo Nordisk,” says Houg.
