Nicolai Tangen, CEO of Norway’s Norges Bank Investment Management, told CNBC on Tuesday that there’s “clearly a lot of froth” in the tech sector, but indicated that determining whether there is too much would depend on this week’s earnings news. American tech giants such as Microsoft, Meta, Tesla and Alphabet already have or are scheduled to release reports this week.
“Using social psychology in investing is very, very interesting, because we look at how you make decisions, how you [make] unbiased decisions, your appetite towards risk and so on,” Tangen said.
NIBM manages the world’s largest sovereign wealth fund, Norwegian Government Pension Fund Global, which was valued at 17.7 trillion kroner ($1.6 trillion) at the end of last month. It’s one of the largest investors in the world, having funded more than 8,800 companies in over 70 countries.
The deputy CEO of NIBM, Trond Grande, seemed to echo Tangen’s statements, noting that investors in the “Magnificent Seven” U.S. tech companies—Apple, Amazon, Alphabet, Meta, Microsoft, Nvidia and Tesla—seemed to be taking “a more nuanced look” at the businesses and their corporate models and strategies.
