The oil fund in Norway calls for an urgent reform of European capital markets

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The world’s largest sovereign wealth fund calls for urgent reform of the capital markets in Europe, including harmonious taxes, insolvency and supervision to ensure that the continent is not behind the United States and Asia in competitiveness.

Norway 1.9TN Oil box It is the largest owner of European assets, and on average is 2.5 percent of each company listed on the continent.

But the share of European stocks in its total assets decreased from 26 percent to 15 percent in the past decade, mainly due to what it says. Low competitiveness Compared to American stock markets and some Asian Porters.

“The good performance market in Europe is very important to us … it seems that there is a sense of urgency at the present time (among policymakers). We also feel it, and we are happy to do so,” Malin Norberg, head of the market strategies at the Fund, told the Financial Times.

The fund will be sent this week in response to the Consulting the European Commission on Integration of capital marketsThe pretext that it must be more ambitious and address the deeper structural problems that harm the continent and its multiple national markets.

The message says: “We are concerned that European markets over time have been delayed in terms of work dynamics and providing new investment opportunities for institutional investors.”

“The main barriers include national securities laws, corporate laws and insolvency systems that are very different from member states.”

The box, which includes the largest possessions in Europe, ASML, Novo Nordisk, Nestlé and UBS, listed areas where they wanted to see the procedure.

These national differences included less securities, corporate law and insolvency systems throughout Europe; Coordination of tax systems, especially for protest tax; And simplifying debt version.

He said that the liquidity of European shares should be improved through competition and innovation, not the organization, and this supervision should be unified at the European level.

The Norwegian politicians cut the proportional exposure to the fund to Europe and have been allocated in the United States in 2012, but it is still “overweight” on the continent.

However, the Fund’s executive officials said that the largest factor behind the decrease in European investments was structural issues like fewer companies listed in the region.

The performance of American stocks was another issue. American stocks are now 40 percent of their assets, compared to 21 percent a decade ago.

“We have seen over the past years that the number of European companies that we have been able to invest in has decreased, and the size of the AUM (management assets) that we have in Europe also decreased significantly,” said Emil Frames, head of global stock trading in the fund.

European technology companies such as Spotify and Klarna have been listed or planned to include them in the United States, while groups like Linde, CRH and Arm Holdings have moved their legs there in recent years.

The number of European companies owned by the fund has decreased by a quarter of the past decade to 1546.

Imagine data by Iditi Bahandari