The fund, which derives its income from the country’s own oil and gas industry, is divesting in oil and gas in an effort to reduce the risk oil prices might have on Norway’s economy. It is looking to sell US$7.5 billion in shares of the companies, which includes Canadian producers such as Canadian Natural Resources, Encana and Cenovus Energy. The decision still needs to be approved by Norway’s government later this spring. (Associated Press)

Talking point: The significance of this move is in its motivation: not necessarily one of climate activism, but a clear indication that there is financial advantage in a transition away from fossil fuels. Analyst Phil Skolnick of Eight Capital told the Associated Press that the selloff of Canadian stakes is not likely to have any major impact on Canadian markets, which is already feeling the effects of issues related to the inability to build pipelines in order to move available product to market, as well as a shortage of capital. The fund owned just one per cent of Canadian Natural’s stock, 0.57 per cent of Encana’s shares and 0.68 per cent of Cenovus’ shares. However, the broader implications to international markets are yet to be determined. When the fund first stated its intention to divest 18 months ago, the announcement jolted oil and gas markets around the world. The S&P/TSX Capped Energy Index ended the day down 2.17 per cent, but that mirrors the broader markets and an oil price drop, so it may not be related to the Norway news.