Norway fund manager chides ministry over rules
By Drew Carter | October 22, 2009 1:18 pm
Norges Bank Investment Management, which oversees the 2.546 trillion Norwegian kroner ($456 billion) Government Pension Fund-Global, Oslo, said today that the Ministry of Finance would be overstepping its bounds if proposed regulations on how the fund is managed were implemented.
“In some areas, the ministry goes too far in suggesting detailed regulation of the bank's management,” according to a translation of a letter to the ministry posted on NBIM's website.
On Aug. 31, the ministry proposed several new management regulations for NBIM, including tighter restrictions on leverage, risk and pay, and the duty to prepare a strategic plan. At the time, the ministry said the regulations would go into effect Jan. 1 after a consultation process.