http://abnormalreturns.com/focus-on-norway-not-cyprus/"Investors are now focused on the drama in Cyprus. In contrast investors would do better to spend their time thinking about Norway. Why you ask? There are more investment lessons to learn from how Norway manages its oil wealth than trying to make decisions based on the latest news and rumors coming out of the Mediterranean."
"How much does the Norwegian portfolio hold in hedge funds? Nothing. Venture capital? Nada. Commodities? Zip. Private-equity funds? Zero. (WSJ)"
"The ministry argues that high management fees on private equity investments make the achievement of a satisfactory return from the asset class too uncertain. This is also the case for infrastructure, which is highly leveraged and where there is limited data on historical returns. (FT)"
Comments
Norway happens to be one of the best run countries on the planet. It would be a better world if more countries looked to Norway for leadership.
peace,
rono