Norway’s sovereign wealth fund, valued at $2 trillion, plans to divest from additional Israeli companies due to escalating tensions in Gaza and the West Bank. The fund announced it had terminated contracts with external asset managers handling its Israeli investments and sold parts of its portfolio in Israel.
The decision comes after media reports revealed a 2% stake in an Israeli jet engine company, Bet Shemesh Engines Ltd (BSEL), which provides services to the Israeli military. Norway’s central bank arm, Norges Bank Investment Management (NBIM), had invested in BSEL since November last year.
In recent days, NBIM has divested stakes in 11 firms, including BSEL. CEO Nicolai Tangen stated that the fund expects to divest from more companies due to ethical concerns raised by the conflict.
Tangen acknowledged that the war in Gaza was not discussed during quarterly meetings with BSEL. The fund had rated BSEL as a “medium-risk” stock but later upgraded it to high-risk due to ethics concerns.
The decision marks another shift for the world’s largest investor, which owns 1.5% of all listed stocks worldwide and invests in various assets such as bonds, real estate, and renewable energy projects. The fund reported a $68.28 billion profit for the first half of the year, earning an overall return of 5.7%.
Source: https://edition.cnn.com/2025/08/12/business/norway-sovereign-fund-sell-israeli-stocks-intl