The fund posted a return of 0.00% in September and is up 3.97% over the past 12 months.

September was a month marked by shifts in yield curves across major central economies, including the U.S., the Eurozone, and Japan. The world’s most important interest rate—the U.S. 10-year yield—rose from 4.8 to 5.3 percent over the course of the month. This marks the largest monthly sell-off in U.S. 10-year Treasury bonds in four years.

In September, Norges Bank raised its key interest rate by 25 basis points to 4.50 percent. Norges Bank signals that the interest rate will remain unchanged for an extended period, as tighter monetary policy is needed to bring inflation down to the target within a reasonable timeframe. Should the inflation outlook deteriorate, further rate hikes cannot be ruled out. The fund has a low interest rate duration of 1.26, and about half of the portfolio consists of floating-rate loans, which limits interest rate risk. September was a challenging month in the market, but the low interest rate duration helped the fund perform relatively well.

The conflict in the Middle East continues to affect the Norwegian economy. Higher prices for energy and other commodities are dampening household demand and business investment, while oil companies are benefiting from the rise in prices. Norges Bank now estimates that GDP for mainland Norway will increase by 0.9 percent in 2026.

Internationally, credit spreads widened in both Europe and the United States. In the Nordic region, however, spreads in the energy sector fell by as much as 69 basis points, while spreads outside the energy sector remained unchanged throughout the month.

We did not make any portfolio changes during the month. The portfolio is well-diversified and is well-positioned to handle the volatility we experienced this month.

As of the end of the month, the fund has a current yield of 5.39%* and an effective yield of 5.84%.*

*Before costs related to management. Will be subject to change from day to day, and is therefore no guarantee of the return in the period for which it is calculated.

Sincerely

Stein Svalestad