Norway wealth fund's ethic watchdog chief threatens to resign

Norway Wealth Fund Ethics Council Chief Threatens to Resign Over Authority Limits

Controversy Surrounds Proposed Changes to Ethics Council's Authority

OSLO, Oct 28 (Reuters) - The leader of the Norwegian sovereign wealth fund's independent ethics council said on Wednesday he will resign if a recent proposal to curtail the watchdog's authority is implemented.

Norway's Sovereign Wealth Fund: Global Influence

• Norway's $2.3 trillion sovereign wealth fund is the world's largest investor, owning 1.5% of all globally listed shares via stakes in more than 7,000 companies

Role of the Council on Ethics

• Norges Bank's Council on Ethics advises the central bank's board on which companies to exclude from the fund's portfolio based on ethical criteria

Proposed Limitations to Advisory Powers

• A government-appointed commission this month suggested that the Council on Ethics should no longer advise on a course of action, only give analyses of ethical breaches by companies

Response from Ethics Council Leadership

• Svein Richard Brandtzaeg wrote in a newspaper column on Wednesday that he would not remain leader of the watchdog if "the fund's ethical flagship is turned into a toothless internal advisory group"

Geopolitical Context and Fund Vulnerability

• The government commission's leader said on October 15 that the fund, by virtue of its size, had become more visible abroad at a time when the geopolitical situation is more fragmented, making it vulnerable to threats

Reporting Credits

(Reporting by Terje Solsvik, editing by Gwladys Fouche)