Norway Oil Fund CEO Says He’s More Nervous After Record Returns

Norway’s giant sovereign wealth fund had a banner first half, but its chief executive is not treating it like a victory lap. Nicolai Tangen called the result “as good as it gets” after the fund reported a record gain of 1.4 trillion kroner, or $150 billion, for the period. The windfall was helped by its stakes in global technology companies, which have been doing much of the heavy lifting.

That sort of run-up tends to sharpen the nerves. In a Bloomberg TV interview, Tangen said a rally like this leaves him “a bit more nervous” and “a bit more conscious about all the dangers out there.” He pointed to AI valuations and geopolitics as the biggest reasons for caution. And he wasn’t talking in abstractions.

Earlier this year, the fund had already warned that an AI bubble could knock 35% off its value. It also said geopolitical risk — including global investment restrictions and severe tariffs — could wipe out as much as 37% in a worst-case scenario. Tangen added that the fund’s largest 10 holdings make up “nearly” 25% of its value, a level of concentration he said it has “never seen.”

The numbers are eye-catching because the fund is huge even by sovereign-wealth standards: $2.3 trillion, with about 1.5% of the world’s listed companies in its portfolio through NBIM. But its room to maneuver is limited. It invests to a benchmark set by Norway’s finance ministry, and most of the portfolio sits in equities, fixed income, real estate and renewable infrastructure outside Norway. That makes the warning worth hearing: when a fund this big starts sounding cautious after a record gain, the market may be asking for more than one good half.