Norway’s mammoth $2.3 trillion wealth fund wants to cut its holdings of government bonds, chiefly U.S. Treasury bonds, as they seek to add other types of assets such as mortgage-backed securities.
The heads of Norges Bank Investment Management recommended reducing the government bond holdings from 70% to 50% — a level that would provide sufficient liquidity during market turbulence while allowing it to seek greater returns elsewhere.
CNBC: World’s biggest sovereign wealth fund plans to cut U.S. Treasury holdings