Norway Wealth Fund’s move to cut EM debt may hit India, too
The decision of Norway’s sovereign wealth fund (SWF) to reduce exposure to emerging market (EM) bonds may shrink their depth especially if other SWFs follow suit. Norges Bank, the world’s largest sovereign wealth fund, has assets under management (AUM) worth $1trillion. Currently, it has a higher exposure to EMs, including South Korea, Mexico followed by Brazil, Indonesia, South Africa and India. Its decision to cut debt holdings in emerging markets is expected to result i ..