OSLO – The Government Pension Fund Global (GPFG), the world’s largest sovereign wealth fund, has reported a strategic recalibration of its massive equity portfolio. According to data released on January 29, 2026, the fund reduced its stakes in several dominant U.S. technology firms, including its largest holding, Nvidia, during the second half of 2025.

Managed by Norges Bank Investment Management (NBIM), the fund's move is being viewed as a prudent rebalancing after a record-breaking run for artificial intelligence and semiconductor stocks.

Adjustments in the "Magnificent" Portfolio

The fund, which owns roughly 1.5% of all listed companies globally, trimmed its exposure to its top four equity holdings to manage concentration risk.

• Nvidia: Stake reduced from 1.32% to 1.26%.
• Microsoft: Stake reduced from 1.35% to 1.26%.
• Apple & Alphabet: Both saw fractional reductions, though Apple remains the fund's second-largest overall investment.

Geopolitical & Ethical Considerations

The portfolio update follows an advisory panel's warning earlier this week regarding geopolitical risks. The fund has been under pressure to prepare for potential trade sanctions and market volatility.

Additionally, the fund continues to enforce strict ethical guidelines. In August 2025, it made headlines by divesting from 11 Israeli companies due to concerns over the humanitarian situation in Gaza, highlighting that for the "Oil Fund," ethical compliance is as critical as financial returns.

2025 Financial Performance Summary

CEO Nicolai Tangen presented the annual results today, noting that despite the trims, the fund's heavy weight in the U.S. market—comprising over half of its assets—driven by the AI boom, resulted in a strong overall return for the year.

• Portfolio Simplification: Beyond tech, the fund divested from over 1,000 companies in H2 2025, narrowing its total holdings to 7,201 across 60 countries.

Strategic Pivot: The Flight to Treasuries

While cooling its heels on high-growth tech, NBIM significantly bolstered its "safety net." The fund increased its holdings in U.S. Treasury securities to $199 billion by year-end, up from $181 billion in June 2025.