Norway's $2 trillion wealth fund was frozen out of major defense companies. That may be about to change

A BAE Systems Hawk T1 jet, pictured Sept. 20, 2026. BAE Systems has been excluded from NBIM's fund since 2018. Artur Widak | Nurphoto | Getty ImagesNorway's $2.3 trillion oil fund could soon invest in Western defense companies after years of being frozen out of much of the sector by state ethics guidelines.The sovereign wealth fund is currently worth around 21.8 trillion Norwegian kroner, or $2.3 trillion, making it the largest fund of its kind in the world. With stakes in around 1.5% of the world's publicly listed companies, the fund is one of the biggest investors in the stock market worldwide. In November 2025, a review was ordered into the ethical guidelines governing how Norges Bank invests, following controversy over divestments from some Israeli and American firms. On Thursday, the independent Gjedrem Committee submitted the review's findings to the Norwegian Ministry of Finance. It included a recommendation for radical change to the fund's approach to defense investments, arguing that "Norges Bank must be prepared for situations where conflicts escalate into war."Current ethical rules prohibit the fund from making investments in companies including Airbus, BAE Systems, Boei...