Norway Investment and Pensions

The Norwegian Government Pension Fund Global (GPFG) and its smaller, domestic and Nordic investment counterpart, Government Pension Fund Norway (GPFN), together constitute the bulk of Norway’s sovereign wealth fund. The largest occupational pension fund provider is KLP, covering the municipal pensions sector. Many municipalities, such as Oslo, Bergen and Trondheim, have their own pension fund, as do large companies. Storebrand has been taking on municipal pensions business in recent years, however, and in 2022 complained to the supervisory authority of the European Free Trade Association (EFTA) that municipalities should be obliged to put their pensions business out to tender. That process is continuing. Among recent regulatory developments in occupational pensions, the AFP second-pillar scheme was changed to a lifelong occupational pension top up from an early retirement system. The government is considering issues relating to GPFG’s ethical governance, geopolitical and equity portfolio concentration risk and the composition of its bond index.