Norway’s $2 trillion oil fund, one of the world’s biggest investors, said Thursday that it is now using AI to screen investments for potential reputational and ethical risks.
Norges Bank Investment Management (NBIM) manages the fund, which was set up in the 1990s to invest revenues from Norway’s oil and gas industry. It’s an investor in more than 7,200 companies across 60 countries and has stakes in around 1.5% of the world’s publicly listed stocks.
It’s long been influential on the global market and ESG — Environmental, Social, and Governance — investing. It uses its influence and voting rights to set expectations for the companies and markets it invests in, including impact on people, the environment and society.
In its annual responsible investment report, the fund’s management team said it was now using AI to provide governance and sustainability insights to portfolio managers.
The technology means it can expand the scope and scale of the information it analyzes, leading to “faster identification of material risks,” NBIM said.
