"Although this approach "eliminates a lot of the uncertainty of picking individual stocks," Thorburn said Norway's GPFG fund managers have "almost no room to deviate from the index or actively hedge."
A strict government mandate means the Norwegian fund cannot take significant protective positions, including holding large amounts of cash.
Most institutional investors, on the other hand, hedge by buying options or futures, which rise in value when regular investments like stocks drop, offsetting some of the declines."
Framing: assertive ·
First seen: 2026-08-18 ·
Last seen: 2026-08-18 ·
Spread: 1 articles