OSLO Feb 28 Norway's $840 billion oil fund, the
world's largest sovereign wealth fund, will this year review the
sustainability of its investments in the mining sector after
selling out of 27 gold and coal miners in 2013, its chief told
Reuters on Friday.
The fund is a major shareholder in some of the world's
largest mining companies, including BHP Billiton
, Anglo American and Glencore Xstrata
"Companies that are having an activity that create huge
externalities may over time get problems either through greater
regulation, through lawsuits or through other ways of pricing
the effects that they have on the external environment," Yngve
Slyngstad said on the sidelines of a news conference.
Asked which sector the fund would be looking at this year,
Slyngstad said: "The obvious one that has the largest
environmental impact is mining ... There is environmental damage
"It does not mean that we are selling out of the sector. We
are concentrating our investments on the companies that we think
are continuing this activity in a more sustainable way," he said
after presenting the fund's 2013 results.
The fund's chief also said companies' boards, rather than
investors, should decide on the pay packages of top executives.
"We think (it) is wrong. Boards are better positioned to
make those decisions," he said, adding that the fund had voted
against pay packages that were not sufficiently understandable.