World’s largest sovereign wealth fund reports $222 billion annual profit on tech rally

Norges Bank Investment Management, the manager of Norway’s sovereign wealth fund, announced a full-year profit of $222.4 billion in 2024, largely due to a tech rally. The fund’s return on investment was 13%, slightly lower than its benchmark index. The strong performance was driven by a surge in American technology stocks and certain sectors like AI and financials. The fund, which invests in over 8,000 companies worldwide, holds stakes in tech giants like Apple, Microsoft, Nvidia, and Amazon. Recent volatility in U.S. tech stocks, triggered by the emergence of DeepSeek’s new AI model, led to a sell-off, but CEO Nicolai Tangen remains optimistic about the democratization of AI technology. Tangen is uncertain if the sell-off will be a long-term trend, but the fund has not made any major changes in response.