World's largest wealth fund posts $30 billion loss after bond market turbulence

Nicolai Tangen, chief executive officer of NBIM, at the Norges Bank Climate Conference in Oslo, Norway, on Oct. 21, 2025.Naina Helén Jåma | Bloomberg | Getty ImagesNorway's sovereign wealth fund — the largest in the world — said Thursday that its investment portfolio delivered a loss of $30 billion in the third quarter, as rising interest rates dented returns on its bond holdings. Norges Bank Investment Management (NBIM), which manages the $2.3 trillion fund, said the accounting return for the period was a loss of 278 billion kroner ($29.7 billion). Around 70% of NBIM's fixed income portfolio is allocated to government bonds, with the remainder invested in corporate debt.The third quarter saw a global bond market rout. Government bond yields surged as major central banks, including the U.S. Federal Reserve, began rate-hiking cycles and concerns about inflation and government debt levels mounted. NBIM's fixed income investments delivered a negative return of 3.5%, with the fund's management saying this was a key driver of the overall downturn. "The fund's return was close to flat, ending slightly negative as rising interest rates led to weaker results on our fixed-income investments...