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Expensive limitations on the Norwegian Sovereign Wealth Fund

It is surreal to see the Ministry of Finance, yet again, veto Oil Fund investments in private equity (unlisted funds) and unlisted infrastructure in its white paper on the Fund. This decision makes no financial sense. Not only does this reduce profits from the fund, it also increases the risk of large losses and the negative impact these would have on the welfare state. A large, long-term, universal investor such as the Oil Fund should be exposed to the entire world economy. However, listed firms represent a shrinking part of the global economy.