Norway’s sovereign wealth fund, the world’s largest, is confronting a question at the heart of its approach to responsible investing: whether it should hold investments in companies that directly or indirectly contribute to the ongoing Israel-Hamas war. The fund invests Norway’s oil wealth, making its decisions about where that money goes a matter of public policy as well as finance. The dilemma is not limited to companies directly involved in the conflict; it also encompasses businesses whose activities may contribute indirectly. That broad question poses a challenge for any effort to apply ethical standards across a large investment portfolio: determining where responsibility lies when a company’s connection to a conflict is less direct. The issue is whether the fund’s holdings can be reconciled with Norway’s stated aim of investing its national wealth responsibly. The question was highlighted Oct. 6, 2026, as the fund’s choices drew attention to the limits and practical consequences of ethical investing. No specific divestment decision or list of affected companies was detailed.