​Norwegian oil fund plans gradual shift to reference portfolio

first_imgThe chief executive said it would come as no surprise that indices excluded certain countries as segments, but that it was potentially more surprising they did not reflect the listed market as a whole, citing free-floats.“The global indices are designed to cater for the needs of an investor requiring daily liquidity,” Slyngstad said. “The fund has no such needs.”He added that the obvious question was whether the sovereign fund should increase its exposure to less liquid assets, moving away from restrictions that require it to invest purely in public markets – with the exception of its 5% strategic investment to private real estate.The chief executive explained that the framework proposed in the report would allow NBIM to boost private holdings, while analysing all investment opportunities the same way, based around the opportunity-cost model.“A new framework for the management of the fund may also facilitate a development where we as manager of the fund take a greater responsibility by defining a tailor-made reference portfolio,” he added.A planned switch away from its current strategic benchmark to one consisting of 60% listed equities and 40% fixed income is meant to express the fund’s risk tolerances rather than act as a limitation on the investable universe, Slyngstad said.“This change would clarify the role of the strategic index in the management of the fund,” he said. Norway’s Government Pension Fund Global (GPFG) is to replace its current strategic index with a new benchmark meant to offer greater flexibility.The new approach, which Yngve Slyngstad, chief executive of Norges Bank Investment Management (NBIM), said stemmed from a recent review of the fund’s approach to active management, would also encourage “gradual” growth of private investments while allowing for a consistent benchmark approach across all holdings.Speaking at a seminar at the Norwegian Ministry of Finance, Slyngstad said the review by Andrew Ang of Columbia Business School, Michael Brandt of Duke University and the former president and chief executive of the Canada Pension Plan Investment Board (CPPIB), David Denison, had shown how the GPFG could exploit investment opportunities currently outside the index.He said the opportunity-cost model proposed was “worth exploring in more detail”, especially in light of the fund’s strategic benchmark – the FTSE Global All Cap index – excluding a number of countries with developed capital markets, such as Qatar and Kuwait.last_img read more

History for Ashwin as India edge closer to victory

first_img(REUTERS)-India’s spinners sent back the top three Bangladesh batsmen in the second innings of the one-(off Test at Hyderabad yesterday to keep the hosts on course for victory.Chasing an improbable target of 459 in four sessions for a win, Bangladesh reached 103-3 at stumps on the fourth day of their maiden Test in India, the world’s top-ranked nation.Shakib Al Hasan was unbeaten on 21 for Bangladesh with Mahmudullah nine not out at the other end.Off-spinner Ravichandran Ashwin, who during the day became the fastest to reach 250 wickets in Tests, dismissed Tamim Iqbal (3) and Mominul Haque (27) while spin partner Ravindra Jadeja picked up the wicket of Soumya Sarkar, who made 42.Sarkar and Mominul added 60 for the second wicket but both left-handers were out in the space of 14 deliveries, dampening the touring side’s hopes of saving the test match.Cheteshwar Pujara hit an unbeaten 54 off 58 balls as India declared their second innings on 159 for four at tea.The hosts batted for 29 overs and scored at a rate of more than five runs per over with useful contributions from captain Virat Kohli (38) and Ajinkya Rahane (28). Paceman Taskin and Shakib shared the four Indian wickets.In the morning session, Bangladesh captain Mushfiqur Rahim registered his fifth Test hundred before his side were bundled out for 388 as the hosts took a first-innings lead of 299.The 29-year-old wicketkeeper-batsman was the last man out for his side on 127 with Bangladesh’s innings ending shortly before lunch. Kohli opted against enforcing the follow-on after his bowlers needed almost an entire session to pick up Bangladesh’s last four wickets.Resuming on 322-6, the visitors got off to a bad start as seamer Bhuvneshwar Kumar breached the defence of half-centurion Mehedi Hasan with the fourth ball of the morning without a run being added to their overnight total.Paceman Umesh Yadav, the most impressive of India’s bowlers, got Taijul Islam to glove one back to wicketkeeper Wriddhiman Saha, raising fears for Mushfiqur that he could run out of partners before reaching three figures.However, Taskin Ahmed stayed with his captain for a 39-run ninth-wicket stand, during which Mushfiqur scored freely.The diminutive right-hander top-edged Ishant Sharma for a six and then reached his century when the lanky bowler miss-fielded near the boundary to allow a four.He was finally out, caught down the leg side to Ashwin, who reached 250 test wickets with the dismissal.Umesh finished with three wickets, while Ashwin and Jadeja picked up two wickets apiece.INDIA 1st innings 687 for 6 decl (V. Kohli 204, M. Vijay 108, W. Saha 106no, C. Pujara 83, A. Rahane 82, R. Jadeja 60no)Bangladesh 1st innings (Overnight: 322-6)T. Iqbal run out (U. Yadav, B. Kumar) 24S. Sarkar c Saha b U. Yadav 15M. Haque lbw b U. Yadav 12Mahmudullah lbw b I. Sharma 28S. Al Hasan c U. Yadav b R. Ashwin 82M. Rahim c Saha b R. Ashwin 127Sa. Rahman lbw b Jadeja 16M. Hasan b B. Kumar 51T. Islam c Saha b U. Yadav 10T. Ahmed c Rahane b Jadeja 8K. Rabbi not out 0Extras (lb-15) 15Total (all out, 127.5 overs) 388Fall of wickets: 1-38 S. Sarkar,2-44 T. Iqbal,3-64 M. Haque,4-109 Mahmudullah,5-216 S. Al Hasan,6-235 Sa. Rahman,7-322 M. Hasan,8-339 T. Islam,9-378 T. Ahmed,10-388 M. RahimBowling: B. Kumar 21 – 7 – 52 – 1, I. Sharma 20 – 5 – 69 – 1,R. Ashwin 28.5 – 7 – 98 – 2, U. Yadav 25 – 6 – 84 – 3, R. Jadeja 33 – 8 – 70 – 2INDIA 2nd inningsM. Vijay c Rahim b Ahmed 7L. Rahul c Rahim b Ahmed 10C. Pujara not out 54V. Kohli c Mahmudullah b Al Hasan 38A. Rahane b Al Hasan 28R. Jadeja not out 16Extras (lb-5 w-1) 6Total (for 4 wickets declared, 29 overs) 159Fall of wickets: 1-12 M. Vijay,2-23 L. Rahul,3-90 V. Kohli,4-128 A. RahaneDid not bat: R. Ashwin, W. Saha, B. Kumar, U. Yadav, I. SharmaBowling: T. Islam 6 – 1 – 29 – 0,T. Ahmed 7 – 0 – 43 – 2(w-1),S. Al Hasan 9 – 0 – 50 – 2, M. Hasan 7 – 0 – 32 – 0.Bangladesh 2nd innings (Target: 459 runs)T. Iqbal c Kohli b R. Ashwin 3S. Sarkar c Rahane b Jadeja 42M. Haque c Rahane b R. Ashwin 27Mahmudullah not out 9S. Al Hasan not out 21Extras (nb-1) 1Total (for 3 wickets, 35 overs) 103Fall of wickets: 1-11 T. Iqbal,2-71 S. Sarkar,3-75 M. HaqueTo bat: M. Rahim, S. Rahman, M. Hasan, T. Islam, T. Ahmed, K. RabbiBowling: B. Kumar 5 – 2 – 14 – 0, R. Ashwin 16 – 6 – 34 – 2,I. Sharma 3 – 0 – 19 – 0(nb-1), U. Yadav 3 – 0 – 9 – 0R. Jadeja 8 – 2 – 27 – 1last_img read more