Norges Bank, world’s largest sovereign fund managing over $2 trillion assets, has reduced India’s weight in its portfolio by 40 basis points to 2.1% as on December 31, 2025, latest annual filings for the fund showed. This is a consequence of India’s underperformance compared to other emerging markets in 2025, say market experts. The development comes after the India portfolio of the fund underperformed its peers significantly in 2025. While the fund had a stellar year posting 15% return, India remained the only country that gave a negative return with the India portfolio of the fund falling by 1.4% during the year, data showed.