Norwegian Sovereign Wealth Fund warns of weakening shareholder rights

Norwegian Sovereign Wealth Fund: The Norwegian Sovereign Wealth Fund, formally the Government Pension Fund Global and managed by Norges Bank Investment Management, is one of the largest global investors with a mandate emphasizing long-term value creation through responsible ownership and active engagement on corporate governance issues. Its officials, including chief governance and compliance officer Carine Smith Ihenacho, have raised alarms about regulatory trends that erode protections for independent shareholders. In this news, the fund is voicing concerns that such developments in markets including the US, UK, Europe, and Hong Kong risk undermining sustainable equity returns. Market Concerns: The fund notes that reporting requirements are increasingly becoming voluntary in some jurisdictions, limiting access to information and legal remedies for outside investors. Governance Trends: The fund has highlighted a shift toward dual-class share structures that grant stronger voting rights to founders and insiders over independent investors. Regulatory Engagement: Fund officials are actively urging stock exchanges, regulators, and companies to implement guardrails such as sunset clauses on special voting rights to protect shareholder interests.