Norway's Sovereign Wealth Fund Reports Record Profit and Discloses SpaceX Stake

Record Half-Year Profit

Norway's $2.3 trillion sovereign wealth fund, managed by Norges Bank Investment Management (NBIM), announced a record half-year profit exceeding $184 billion. This performance resulted in a 9.4% return for the fund, which was established in the 1990s to invest revenues from Norway's oil and gas industry.

Drivers of Growth

The significant profit, totaling over 1.75 trillion Norwegian kroner, was primarily attributed to strong returns in the equity market, particularly from Asian technology stocks. Equities constitute more than two-thirds of the fund's portfolio, which also includes fixed income, real estate, and renewable energy infrastructure.

SpaceX Investment Revealed

Alongside its financial results, the fund disclosed a 0.05% stake in SpaceX, valued at just over $1.2 billion. This investment positions NBIM as a major investor in both publicly traded companies led by Elon Musk, as it also holds a 1% stake in Tesla, valued at approximately $15.7 billion by the end of the first half.

Portfolio Composition

The fund is an investor in over 7,000 companies across more than 50 countries, holding stakes in approximately 1.5% of the world's publicly listed stocks. Around 40% of NBIM's portfolio consists of U.S. equities, with its largest holdings being shares in Nvidia, Apple, and Microsoft.

Relationship with Elon Musk

Despite the substantial investments in Musk's companies, NBIM has had a contentious relationship with him. In 2024, NBIM voted against Musk's $56 billion pay package from Tesla. Following this, Musk reportedly declined an invitation from NBIM CEO Nicolai Tangen, indicating a strained dynamic between the two parties.