Norway’s $1 Trillion Fund Wins Go-Ahead for Oil Stock Divestment (1)

Norway’s $1 trillion sovereign wealth fund got the green-light to dump more than $13 billion in stocks linked to fossil fuels as well as a broad range of emerging-market bonds.

With broad support, parliament on Wednesday approved a spate of changes, including a watered down plan to dump oil explorers and producers that spares the biggest global petroleum companies such as Royal Dutch Shell Plc and Exxon Mobil Corp.

It’s nonetheless a milestone for western Europe’s biggest oil-producing country and the global investment community. The decision has also been seized on by climate activists eager to choke off capital to ...