Mar 20, 2023
Norway’s $1.3 Trillion Wealth Fund Cut Credit Suisse Stake Earlier This Year
(Bloomberg) -- Norway’s $1.3 trillion sovereign wealth fund said it reduced its holding in Credit Suisse Group AG earlier this year.
“Since year-end we have reduced our holding in Credit Suisse and we now have an ownership stake of around 1%,” spokesperson Line Aaltvedt said Monday. “We are closely monitoring the situation in the market, and especially the situation concerning North-American and European banks.”
The takeover of the 166-year-old Swiss lender is adding to investor jitters following the failures of Silicon Valley Bank and Signature Bank in the US this month. Norges Bank Investment Management, the world’s biggest single owner of equities, held 1.5% of Credit Suisse stock at the end of 2022, as well as $140.5 million in corporate debt. It doesn’t hold any additional tier 1 bonds, a spokesperson said.
UBS Group AG shares fell Monday after it agreed to pay 3 billion francs ($3.2 billion) for its rival in a historic, government-brokered deal. NBIM said its 3.3% stake in UBS remains largely unchanged from the end of last year.
The Oslo-based fund said on March 13 that it expects to claw back some money related to credit exposure following the collapse of Silicon Valley Bank, though it is “premature to say how much.”
(Updates with corporate bond holdings in third paragraph, UBS stake in fourth.)
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