Here is the general gist of it:
Norway plans to draw a record 382 billion kroner ($37 billion) from its wealth fund, forcing the world’s biggest sovereign investor to embark on an historic asset sale to generate cash.
Norway and some others countries have done it smartly instead of just going to printing cash machine.
For the first time, Norway’s government is set to withdraw considerably more than the $1 trillion fund generates in cash flow from dividends and interest payments. …Norway has a self-imposed fiscal rule stating it should use no more than 3% of the fund’s value each year to plug budget holes (which represents the long-term real-return expectation for the fund). But it’s allowed to stray from that limit to help the economy during downturns. At 4.2% this year, spending will exceed the cap for the first time since the financial crisis in 2009. Norway must eventually return to the 3% limit, but this year’s breach is entirely justified, said Finance Minister Jan Tore Sanner.
https://ca.finance.yahoo.com/amphtml/news/world-biggest-wealth-fund-faces-080732585.html
Unlike here is Canada and other western nations that are robbing from future generations.
Here are some comments from my facebook group users:
Wouldn’t it be nice to have wise government that had a wealth fund to withdraw from in times of crisis, rather than a pile of debt to add to. ….but FREEDOM!!1! Understandable anxiety but where will they put all that cash to? Some projections are pointing at negative interest rates in a few quarters so they’ll have to stay invested.
Let me know what you think. Thanks Bryan
I have also added a new video to see how these parameters will be used in the upcoming crypto trading bot.
https://quantlabs.net/blog/2020/05/first-look-at-configuring-new-crypto-trading-bot/
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