Oslo’s finance commissioner Robert Steen is anxious about the consequences of a Brexit since the municipality has placed 1.7 billion of its pension funds in UK equities.
It is expected that the UK stock market is going to fall sharply as a result of the majority of voters in Britain voting in favour of leaving the EU.
Oslo pension (OPF) has invested 1.7 billion of its pension funds in UK equities. According to Steen OPF pays particularly close attention to changes in the exchange rate between Norwegian kroner, euro and British pound. Oslo’s pension funds are paid in Norwegian kroner and therefore assessed regularly against fluctuations in currencies.
– OPF is working regularly with currency hedging and states that there are no material risks of changes in exchange rates either in pounds or euros. Yet it is important that we follow the consequences of brexit closely and I keep up to date regularly on the situation, Steen says.
The British investment amounts to 2.5 percent of Oslo’s total pension funds.
Source: NTB scanpix / Norway Today