[Norway’s sovereign wealth fund plans to reduce its holdings of government bonds; U.S. debt is expected to be the biggest affected by the reduction] On September 4, Norway’s sovereign wealth fund proposed to reduce the number of government bonds in its $2.3 trillion investment portfolio to increase its holdings of riskier bonds, of which U.S. government bonds would be the most affected. Norges Bank Investment Management (NBIM) said in a letter sent to the Treasury on Tuesday that government bonds should reduce the proportion of total bond holdings in the portfolio from 70% to 50%. The letter was published on its website. The remainder of the bond allocation should increase exposure to additional sources of risk premiums, the fund said. According to the latest data published on the fund's website, as of June 30, about 30% of its assets were invested in bonds, with fixed-income assets exceeding $615 billion, of which about 59.5% was invested in government bonds. If the proportion of government bonds is reduced to 50% as proposed, the size of the position will be reduced by approximately US$58 billion.