Norway's sovereign wealth fund said on Monday it is buying a stake in the UK's Meadowhall Shopping Centre, continuing its shift into real estate investments and away from fixed income as it diversifies its $650bn investment portfolio.

Norges Bank Investment Management, the central bank division which runs the Government Pension Fund Global, said it has bought the 50% stake in Meadowhall for £348m, the fund's second direct investment in UK property after it received a mandate in 2010 to invest up to 5% of assets in real estate.