Government Pension Fund Norway (discontinued), 2nd half-year 2010

The value of the fund’s assets increased mainly due to an increase in the value of the shares and other equity. The holdings of shares and other equity increased by 24.1 per cent, from NOK 66.7 billion to NOK 87.9 billion in the last six months of last year. In the same period, the value of the bonds increased from NOK 44.5 billion to NOK 44.9 billion. The fund has NOK 5.6 billion deposited in commercial banks as of 31 December 2010. This amount is about twice as high as it was on 30 June 2010.

Composition of the portfolio

At the end of 2010, the value of the portfolio of shares and other equity was 63 per cent of the total value of the fund’s holdings. In June 2010, this share was 58 per cent. A total of 69 per cent of the portfolio, or NOK 60.9 billion, consisted of investments in non-financial enterprises. NOK 42.8 billion was invested in private incorporated companies and NOK 18.1 billion was invested in state enterprises. The value of investments in non-financial enterprises increased by NOK 14 billion, or 23 per cent, in the second half of 2010.

The value of shares and other equity in other Nordic countries totalled NOK 18.8 billion at the end of 2010. Shares and other equity in Norwegian financial enterprises had a value of NOK 8.3 billion.

Tables:

• Table 1 Government Pension Fund - Norway. Balance sheet. 31 December 2005 - 31 December 2010. NOK million
• Table 2 Government Pension Fund - Norway. Bonds and shares and other equity by debtor sector. NOK million