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Norway wealth fund to back Barclays CEO, chair at AGM

Published 06/05/2024, 15:55
Updated 06/05/2024, 16:01
© Reuters. FILE PHOTO: The trading floor of Norges Bank Investment Management, the Nordic countryÕs sovereign wealth fund in Oslo, Norway, June 2, 2017. REUTERS/Ints Kalnins/File photo
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OSLO (Reuters) -Norway's $1.6 trillion sovereign wealth fund, one of the world's largest investors, supports the reappointment of Barclays (LON:BARC) CEO C.S. Venkatakrishnan and Chair Nigel Higgins to the British bank's board, the fund manager said on Saturday.

Norges Bank Investment Management (NBIM) will also support Barclays' proposed bonus policy change for so-called material risk takers (MRTs), like it recently did at rival bank HSBC (LON:HSBA), an updated list of NBIM's voting intentions showed.

The change, if approved by shareholders, will allow Barclays and its subsidiaries to reclaim full discretion over bonuses payable to MRTs, after Britain last year threw out EU rules that capped such payments.

Barclays is due to hold its annual general meeting of shareholders on May 9.

Barclays' share price is up 32% year to date, beating a 16% rise in the wider European banking sector, after underperforming rivals in recent years.

The bank in February laid out a three-year plan to revive its flagging share price, including cost cuts and returning 10 billion pounds ($12.54 billion) to shareholders after a period of management turmoil and underwhelming results.

© Reuters. FILE PHOTO: The trading floor of Norges Bank Investment Management, the Nordic countryÕs sovereign wealth fund in Oslo, Norway, June 2, 2017. REUTERS/Ints Kalnins/File photo

NBIM as of the end of 2023 held a 1.61% stake in Barclays valued at $477 million, the fund's most recent disclosure showed. It remains the bank's 7th biggest shareholder, according to LSEG data.

($1 = 0.7976 pounds)

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