Norway's Fund Hits Record $185B Profit, Buys SpaceX

Norway's Government Pension Fund Global achieved a record first-half profit of over 1.75 trillion Norwegian kroner, approximately $185 billion, marking its best six-month performance. This significant gain was largely propelled by a surge in equity markets, especially technology stocks in Asia and Oceania, which returned 31.3% in the first half. The fund's overall return was 9.4%, outperforming its benchmark.

As of June 30, the fund's total value stood at nearly $2.34 trillion, with equities comprising 72.1% of its portfolio. Technology and telecommunications sectors were standout performers. The fund also disclosed a new stake in SpaceX, valued at over $1.2 billion, and maintains substantial holdings in companies like Nvidia and Apple. Despite these successes, the fund had previously opposed Elon Musk's pay arrangements at Tesla.

While equity investments experienced volatility, rebounding strongly in the second quarter, fixed-income investments also contributed positively. Capital inflows totaled 94 billion kroner, though a stronger Norwegian krone slightly reduced the fund's total value when denominated in kroner.