2018: Robust performance in a weak market

Folketrygdfondet achieved a return of -0.4 percent on the Government Pension Fund Norway in 2018, outperforming the market by 0.8 percentage points. Capital under management totalled NOK 239.2 billion at year-end.

Oslo, 28 February 2019

“We have delivered a strong result in a negative market,” says Folketrygdfondet CEO Kjetil Houg.

Overall, Folketrygdfondet outperformed the market by 0.8 percentage points. The average annual excess return over the past five years is 1.0 percentage points, and 0.5 percentage points over the past 10 years.

“Our success in outperforming the market in the longer term reflects our deliberate selection of the right companies and the avoidance of large losses. We have also positioned ourselves well in the bond market and exploited a range of sources of returns,” says Kjetil Houg.

The return on the share portfolio was -1.8 percent in 2018, 0.8 percentage points better than the market return. The fixed-income portfolio achieved a return of 1.7 percent, beating the market by 0.7 percentage points.

Oslo Stock Exchange was a leading performer in 2018, despite a sharp drop in oil prices. Folketrygdfondet invests the majority of its capital in the Norwegian market.

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