Sun, Aug 30, 2015
A A A
Welcome asarmad
RSS

Sovereign Wealth Funds Briefing - Category | Financials more

Temasek, GIC invest S$739 million in Citic Securities

Posted on 17 June 2015 by VRS  |  Email |Print

Singapore investment company Temasek Holdings and sovereign wealth fund GIC will plough in another HK$4.3 billion (S$739 million) into Citic Securities, as the Chinese broking firm raises as much as HK$27.1 billion via a placement of new shares to ten institutional investors.
Citic Securities, China’s biggest brokerage by market value, will sell as many as 1.1 billion new Hong Kong-listed shares at HK$24.60 each, it said in a statement filed with the Hong Kong stock exchange. That’s a 19 per cent discount from Monday’s closing price………………………………………..Full Article: Source

CITI: If governments stopped focusing on debt and ‘unlock the value’ of assets, it will solve the global debt problem

Posted on 17 June 2015 by VRS  |  Email |Print

What many would refer to as a sovereign wealth fund and the authors call a national wealth fund (NWF). Free of political interference the NWF structure “maximizes economic value consistent with the principles of corporate governance,” Detter and Fölster say.
It’s an ambitious plan, but one that even if partially realised can change the shape of the global economy and change the conversation around sovereign debt and deficits to one much more positive. That has to be good for the global economy………………………………………..Full Article: Source

IMF allows that SOFAZ assets can increase

Posted on 17 June 2015 by VRS  |  Email |Print

IMF allows that the assets of the State Oil Fund of Azerbaijan (SOFAZ) can increase.
According to IMF forecasts, in 2015 the SOFAZ assets will decrease from $37.032 bn to $34.855 bn. In 2016 the assets will start to restore up to $36.195 bn………………………………………..Full Article: Source

Opportunity knocks for all if we can tap into our shared wealth

Posted on 16 June 2015 by VRS  |  Email |Print

We need to think big when it comes to the West Midlands’ public and private assets. I hope it isn’t a side issue. It can actually be the real driving force for the whole region. I suspect we need to be much more ambitious than a ’single investment vehicle’. How about we aim for a West Midlands Regional Sovereign Wealth Fund?
I have been arguing in articles, books and blogs for years now (and here in the Birmingham Post) that we need to be much more innovative and creative about our assets in Birmingham and the West Midlands. They are mostly unmined, unexploited and unsweated. They sit as a wasted network of resources which should be unlocked and exploited. Their assets (often physical buildings, as it happens) joined within a wider sovereign wealth fund which recognises the wider economic impact of the arts can of themselves be part of a new wider way of generating arts funding………………………………………..Full Article: Source

Zim needs effective fiscal policy for SWF

Posted on 16 June 2015 by VRS  |  Email |Print

Government needs to formulate sound fiscal policy and ensure effective public finance management when investing proceeds from finite natural resources to achieve sustainable economic, a paper from a local research unit noted. The paper details part of initial efforts to interrogate what the Government needs to do when setting up a Sovereign Wealth Fund (SWF) to manage inflows from the country’s natural resources to support future economic growth.
The Government designated mining as the anchor for short to medium-term economic growth, at the same time it needs to create reserves from its exhaustible natural resources income for smooth consumption pattern over time………………………………………..Full Article: Source

HDFC makes affordable housing play; launches $1-billion global fund

Posted on 16 June 2015 by VRS  |  Email |Print

Some of the bulge-bracket global investors are betting on India’s affordable housing story with the country’s leading mortgage lender HDFC rolling out its $1-billion offshore fund to finance such projects.
The world’s second largest sovereign wealth fund the Abu Dhabi Investment Authority (ADIA), is one of the investors, according to two persons close to the development. Two European pension fund pools have also committed investments. The fund, according to a senior banker, has already completed its “first close” of $500 million — pooling a large share of it from the Gulf-based sovereign wealth fund (SWF)………………………………………..Full Article: Source

Duke Energy, Norwegian fund in talks that could salvage $420M investment

Posted on 15 June 2015 by VRS  |  Email |Print

Duke Energy and some other U.S. power companies may qualify for some caveats allowed in Norway’s plan to divest its pension funds from companies that get at least 30 percent of their revenue from coal operations. Duke spokesman Dave Scanzoni says the Charlotte-based power giant has been in contact with representatives of Norges Bank, which administers the $420 million-plus Norwegian investment in Duke, about the new measure.
They plan to continue discussions in the coming months, making the case that Duke has existing plans for a significant reduction in its dependence on coal in the next few years. Marthe Skaar, spokeswoman for Norges, would not confirm any conversations with companies the fund invests in………………………………………..Full Article: Source

GBP16bln to spend - how hard can it be?

Posted on 15 June 2015 by VRS  |  Email |Print

Meet the man who has billions of Norway’s oil cash to invest in central London property. January 13, 2011, started inauspiciously for Karsten Kallevig. The head of property at Norway’s sovereign wealth fund woke up at a hotel in London’s West End ready to sign a £450m deal to buy 25% of Regent Street from the Crown Estate.
“I put on the TV, then just read through the contract one last time,” he said. “And on the TV they’re showing there’s a guy who has locked himself in a store on Regent Street, saying he’s got a bomb. I’m sitting there, saying on one hand ‘I’m very glad this came before I signed’. On the other hand, ‘any day he had to pick to lock himself into a store and threaten to blow himself up, it’s today’.”……………………………………….Full Article: Source

Gaddafi’s missing billions shows risk of sovereign wealth funds

Posted on 15 June 2015 by VRS  |  Email |Print

Fight for control of Libyan Investment Authority highlights need for greater governance over giant sovereign wealth funds.Back in 1974, Fortune magazine described the oil boom in the Middle East as the biggest re-distribution of wealth in history. Across the Arab world, people who had spent centuries living in abject poverty were suddenly blessed with oil riches beyond their wildest dreams.
Foreign currency earnings began to flow into the region and - to mop up this flood of capital - governments set up sovereign wealth funds, or SWFs. These funds were, in principle, intended to act as banks of last resort for oil producers in the region by investing petro-dollars overseas during periods of high prices. Were revenue from oil sales to decline, then these investments could be sold to provide hard currency at short notice to support economic growth………………………………………..Full Article: Source

Malaysia’s troubled state fund gets Middle East help

Posted on 15 June 2015 by VRS  |  Email |Print

Heavily indebted 1Malaysia Development Bhd (1MDB), a strategic development company wholly-owned by the government of Malaysia and cooperating, among others, with Middle East investors such as Aabar Investments and Qatar Investment Authority (QIA), said on June 8 that it has repaid a $975mn loan to an international consortium of banks, a move that “proves its commitment to reducing its debt.”
The fund, which has amassed debt since its inception in 2009 that is said to stand at $11.4bn, has used a fresh $1bn cash injection paid on June 4 by Aabar Investments, a unit of Abu Dhabi’s International Petroleum Investment Company (IPIC), to repay the loan to the six-bank syndicate led by Deutsche Bank………………………………………..Full Article: Source

Alaska Permanent Fund can fill the budget gap if only we’d recognize it’s time

Posted on 15 June 2015 by VRS  |  Email |Print

On the heels of Gov. Bill Walker’s three-day “Building a Sustainable Future” shindig in Fairbanks to hash out details of Alaska’s fiscal problems and possible solutions, many of us are wondering when Alaskans will get around to connecting the dots.
As some attendees pointed out, most of those at the gathering were older, politically involved Alaskans or members of Walker’s transition team or kibitzers representing government or education interests. They spent, if the press got it right, much time on taxes — the left calls them “revenue options” — to close Alaska’s budget gap………………………………………..Full Article: Source

State-owned assets: The neglected wealth of nations

Posted on 12 June 2015 by VRS  |  Email |Print

Governments have trillions of dollars in assets, from companies to forests. These are typically poorly managed, and often not even recorded at all (Greece, for instance, still has no proper land registry). Dozens of countries have asset-management agencies, but these tend to be run by government departments, not external experts. Only 1.5% of public assets are in politically insulated NWF-style funds with wide latitude to value them at market rates, restructure them, and keep, sell or merge them as they see fit.
How big is difficult to say due to gaps in the data, but the authors believe the pool of public “commercial” assets (lumpy stakes in companies, property and the like) is $75 trillion, twice the world’s total pension savings and ten times as big as the holdings of sovereign-wealth funds (which typically hold financial assets such as stocks and bonds.)……………………………………….Full Article: Source

Global Logistic Said in Talks for $4.5 Billion Portfolio

Posted on 11 June 2015 by VRS  |  Email |Print

Global Logistic Properties Ltd., partly owned by Singapore’s sovereign wealth fund, is in preliminary talks to acquire more than 200 warehouses valued at about $4.5 billion as part of its push into the U.S., said a person with knowledge of the discussions.
The talks with the owner of the properties, Industrial Income Trust Inc., might not lead to an agreement, said the person, who asked not to be identified because the sales process is private. The assets comprise almost 58 million square feet (5.4 million square meters)………………………………………..Full Article: Source

Qatar could turn off tap on mining funding after review

Posted on 11 June 2015 by VRS  |  Email |Print

An investment review at Qatar’s wealth fund could lead to a cut in money allocated to the mining sector, potentially hitting ventures such QKR Corp, according to five sources familiar with the matter. Such a move would be the latest in a string of rethinks by sovereign funds and investment firms that have been badly burnt by bets in the natural resources sector, largely due to the recent pullback in oil, gas and metal prices.
Late last year, Qatar named ruling family member Sheikh Abdullah bin Mohamed bin Saud al-Thani as the new head of the Qatar Investment Authority (QIA), one of the top investors globally………………………………………..Full Article: Source

Qatar to have its first budget deficit in 15 years

Posted on 10 June 2015 by VRS  |  Email |Print

Qatar is set to run its first budget deficit in 15 years as it ploughs ahead with massive infrastructure spending ahead of the football World Cup in 2022. “Qatar’s high economic wealth levels and strong external and fiscal positions provide buffers to alleviate the impact of the sharp decline in the oil price,” said Trevor Cullinan, director of sovereign ratings at Standard and Poor’s (S&P).
The Qatar Investment Authority (QIA), the country’s sovereign wealth fund, on Tuesday agreed to pay HK$7.7 billion (Dh3.65bn) to buy a 16.53 per cent stake in HK Electric Investments (HKEI) from Power Assets, a utilities group controlled by billionaire Li Ka-shing………………………………………..Full Article: Source

National Assembly soon to debate bill on gas resources

Posted on 10 June 2015 by VRS  |  Email |Print

Igalula Member of Parliament Athuman Mfutakamba wanted to know when the government would deposit revenue from gas in the ‘Sovereignty Wealth Fund’ once the government selling the product in 2020. Responding, the deputy minister said after gas discovery in the country there has been heavy investment in the sector from both private and public sectors through contracts.
He said the contracts will be transparent as far as the distribution and allocation of revenue from gas resources is concerned, explaining: “The government will also establish a transparent system on how to make decisions concerning the use of funds from natural gas and where to invest the sovereign wealth fund.” Dr Kitwanga added that under the system it will be decided which areas and at what time the Sovereign Wealth Fund will be allocated, especially for the future generation………………………………………..Full Article: Source

1MDB, Malaysia’s investment arm, repays USD975m debt

Posted on 10 June 2015 by VRS  |  Email |Print

Malaysia’s debt-ridden state investment company, 1Malaysia Development Bhd (1MDB), has settled a loan amounting to USD975m to a consortium of international banks led by Deutsche Bank AG. In a statement, 1MDB, which had racked up MYR41.9bn (USD11.1bn in debts as of 31 March 2014, said the repayment is part of its commitment to reduce its liabilities and in line with strategy approved by the Malaysian cabinet.
Malaysia’s The Start newspaper has quoted 1MDB president and group executive director Arul Kanda Kandasamy confirming the full repayment. Bloomberg has reported that the government said last month that funds to repay the loan would come from Abu Dhabi’s state-owned International Petroleum Investment Co. 1MDB, in a separate statement, said it is cooperating with authorities that are investigating the fund, which has been weighing on the local currency……………………………………….Full Article: Source

Sovereign wealth funds likely to lower home-market bond holdings

Posted on 09 June 2015 by VRS  |  Email |Print

Bond markets across the globe look set to lose further favor with sovereign wealth fund investors as a net 47% say they expect to decrease their home-market bond exposures. The third annual report by Invesco (IVZ) about the SWF market, covering $7.1 trillion in assets from 59 investors, found that trend against home-market bonds had increased from a net 38% planning such a shift in the 2014 report.
A propensity for cash was marked, however, with only a net 17% of respondents set to shift from cash, vs. a net 25% in 2014. At the other end of the investor views was infrastructure, with a net 50% expecting to increase allocation to home-market infrastructure, vs. a net 33% in 2014. Global infrastructure is set to increase as well, with a net 63% expecting to shift allocations into the asset class, compared with a net 53% in 2014………………………………………..Full Article: Source

Middle East sovereign wealth funds fear inflow decline

Posted on 09 June 2015 by VRS  |  Email |Print

More than a third of Middle Eastern sovereign wealth funds expect new funding to decrease as the region adjusts to a period of lower oil prices, research suggests. Invesco’s 2015 global sovereign asset management survey reveals that 38 per cent of Middle Eastern sovereign funds expect such funding to decrease; 31 per cent expect it to stay the same; and 31 per cent see it increasing.
After years of ever-increasing allocations, regional fund managers are adjusting to a low-oil environment that may persist for several years. But the research also highlights the positive outlook from most regional funds, whose governments are seeking long-term returns for future generations or domestic development. “Middle East sovereigns felt funding would continue despite the oil price, whereas there is more sensitivity about future withdrawals,” said Nick Tolchard, head of Invesco Middle East………………………………………..Full Article: Source

Abu Dhabi wealth fund approved to invest US$1.5bn in A-shares

Posted on 08 June 2015 by VRS  |  Email |Print

The Abu Dhabi Investment Authority (ADIA), one of the largest sovereign wealth funds in the world, has been approved to invest US$1.5 billion in China’s A-share market, reports Beijing Youth Daily. The fund has collected almost US$4 billion overseas since last week. This is not the group’s first time’s investing in China’s stock market.
The fund is a shareholder of many Chinese companies like LiuGong Machinery, Tongling Nonferrous Metals, Jiuzhou Group, Sunlord Electronics, China Shipping Development, Zhongjin Gold, Zhejiang Huahai Pharmaceutical, Jin Jiang Intel Group, and China Communications Construction Company Group………………………………………..Full Article: Source

Alberta should copy Alberta on oil royalties: former Norwegian finance minister

Posted on 04 June 2015 by VRS  |  Email |Print

A former Norwegian finance minister says Alberta’s new government should take inspiration on handling resource revenues from the same place her country found it — Alberta. “We were inspired by Alberta when we established our sovereign wealth fund,” said Kristin Halvorsen, who was Norway’s finance minister from 2005 to 2009 and led that country’s Socialist Left party in a coalition government.
“But there have been many differences in how we established the fund.” Alberta’s new NDP government has promised to review how the province’s oil royalties are raised and spent. That includes a look at the Heritage Savings Trust Fund, which was created by former premier Peter Lougheed in 1976 as a nest egg and repository for some of Alberta’s non-renewable resource revenues to prevent them from distorting annual budgets………………………………………..Full Article: Source

Abu Dhabi Wealth Fund Changing Tack Amid Lower Oil Prices

Posted on 03 June 2015 by VRS  |  Email |Print

The Abu Dhabi Investment Authority, a sovereign-wealth fund with assets estimated at more than $700 billion, is relying less on external money managers and handling more of its investments in-house—a trend gaining traction at some of the largest managers of national wealth from Norway to Singapore.
Funded by excess revenue from the government of Abu Dhabi, a major Persian Gulf oil producer, ADIA was managing 35% of its money in-house in 2014, compared with 25% in the previous year, according to an annual review released Tuesday. Investors watch ADIA’s allocations and money-management strategies carefully because of the effect a shift by a fund its size could potentially have on asset prices………………………………………..Full Article: Source

Abu Dhabi fund ADIA manages more of its billions in-house

Posted on 03 June 2015 by VRS  |  Email |Print

Abu Dhabi Investment Authority (ADIA), one of the world’s biggest sovereign wealth funds, managed more of its money in-house last year as it strengthened its capabilities and added staff in some areas, ADIA said on Tuesday. The proportion of its assets managed by external fund managers fell to 65 percent last year from 75 percent in 2013, the authority said in its annual review.
It said this was due to “our efforts over recent years to strengthen the organisation’s in-house investment and analytical expertise”. ADIA has 1,650 employees from 60 nationalities, the review said. ADIA did not disclose its total assets under management but the U.S.-based Sovereign Wealth Fund Institute, which tracks the industry, estimates them at $773 billion………………………………………..Full Article: Source

Abu Dhabi Investment Authority bolsters internally managed capabilities in 2014

Posted on 03 June 2015 by VRS  |  Email |Print

Abu Dhabi Investment Authority cut the percentage of assets managed by external money managers to 65% from 75% a year earlier, said its 2014 annual report. The move to reduce externally managed assets by the sovereign wealth fund reflected its “efforts over recent years to strengthen the organization’s in-house investment and analytical expertise,” said Hamed bin Zayed Al Nahyan, managing director, in the review. Further details weren’t available.
ADIA does not disclose its assets, but it is estimated by the Sovereign Wealth Fund Institute to have $773 billion. The sovereign wealth fund said about 55% of its assets are invested in index-replicating strategies, steady from 2013………………………………………..Full Article: Source

Malaysia’s 1MDB secures $1bn from Abu Dhabi fund ahead of loan deadline

Posted on 01 June 2015 by VRS  |  Email |Print

Malaysia’s loss-making state fund 1MDB has signed a deal securing $1 billion in funding from Abu Dhabi, days ahead of a looming deadline to repay a loan of that size, in what the government said was a significant step toward easing debt worries and advancing a long-awaited restructuring.
Malaysia’s finance ministry said in a statement on Friday that Abu Dhabi’s International Petroleum Investment Company (IPIC) and its Aabar Investments unit will supply the on or before June 4. That will allow 1MDB to repay a $975 million loan to a global banking syndicate, it said………………………………….Full Article: Source

XPO to raise $3.26 billion with an eye to more deals - sources

Posted on 01 June 2015 by VRS  |  Email |Print

XPO Logistics Inc will raise $3.26 billion through new equity and debt, partly to fund acquisitions, according to people familiar with the matter, just one month after a $3.53 billion deal to buy France’s Norbert Dentressangle SA.
A consortium of 15 investors that include Singapore’s sovereign wealth fund and Canadian public pension funds Ontario Teachers’ Pension Plan and Public Sector Pension Investment Board have agreed to provide $1.26 billion to XPO by acquiring 28 million of its shares, equivalent to 21 percent of its common stock, at $45 per share, the people said on Sunday………………………………….Full Article: Source

China stocks plunge 6.5% after sovereign fund cuts stakes in banks

Posted on 29 May 2015 by VRS  |  Email |Print

Chinese stocks fell the most in four months on Thursday, as a selloff swept the financial sector after a unit of China’s sovereign-wealth fund reportedly cut its stakes in state-owned banks for the first time. The Shanghai Composite Index sank 6.5% to 4,620.27, pulling back from a seven-year closing high after a seven-day bull run.
That also marked its steepest daily percentage decline since Jan. 19, when the index dived 7.7% after China tightened up margin-trading rules. Hong Kong’s Hang Seng Index HSI, -0.20% also declined 2.2%, falling the most in more than five months. The mainland-China-tracking Hang Seng China Enterprises was down 3.5%………………………………Full Article: Source

China’s Sovereign Wealth Fund Sold Bank Shares: Why Is It Such A Big Deal?

Posted on 29 May 2015 by VRS  |  Email |Print

The Shanghai stock market dived 6.5% yesterday after the Hong Kong Stock Exchange disclosed that China’s domestic sovereign wealth fund Huijin had sold some of its bank holdings. Why is this news clip such a big deal? Huijin is the major shareholders of the Big Four banks and this is its FIRST divestment.
Since 2008, Huijin has bought altogether 855 million shares of ICBC (1398.Hong Kong) and 561 million shares of China Construction Bank (939.Hong Kong in five rounds. “Its actions were largely seen as a symbolic support to both the market and the banking sector,” wrote Deutsche Bank analyst Tracy Yu and team this morning………………………………Full Article: Source

AGL, New Hope could be hit by Norway divestment drive but BHP and Rio safe

Posted on 29 May 2015 by VRS  |  Email |Print

AGL Energy and coal miner New Hope Corp could be the biggest casualties of a proposed directive by Norway’s parliament for the nation’s $US900 ($1.16 trillion) sovereign wealth fund to sell out of coal stocks. The plan would build on earlier steps by Norway’s Government Pension Fund Global (GPFG) to reduce its coal exposure and adds momentum to a global push for divestment from coal.
The GPFG is built on Norway’s oil wealth and the latest measure would capture power companies that depend on coal for more than 30 per cent of generation as well as miners that get 30 per cent of their revenues from thermal coal. The GPFG sold out of Whitehaven Coal last year. ……………………………..Full Article: Source

Bahrain Sovereign Fund Plans to Beat 2014 Foreign Deal Flow

Posted on 28 May 2015 by VRS  |  Email |Print

Bahrain’s sovereign wealth fund intends to complete more acquisitions this year than in 2014 as it diversifies its international holdings and pursues a goal of doubling in size. Bahrain Mumtalakat Holding Co. completed four acquisitions in 2014, Chief Executive Officer Mahmood Al Kooheji said Wednesday in a telephone interview from Manama.
The fund has already made two acquisitions this year and expects to announce at least two more before the end of 2015, he said. Mumtalakat will continue to focus on co-investing with other firms to expand its $11.1 billion of assets in the next seven years, Kooheji said…………………………………Full Article: Source

Bahrain fund Mumtalakat rejects mismanagement claims as 2014 profit rises

Posted on 28 May 2015 by VRS  |  Email |Print

The head of Bahrain sovereign fund Mumtalakat has rebutted allegations made by some parliamentarians that the fund has been financially mismanaged, pointing on Wednesday to increased earnings as proof of its performance. The fund, which holds stakes in Bahraini companies including Aluminium Bahrain (Alba), Gulf Air and Batelco, posted a 10.8 per cent increase in net profit in 2014 as higher revenue outpaced a rise in impairments.
Gulf sovereign wealth funds are facing growing pressure to prove they are wisely investing national reserves, as lower oil prices force governments to consider cutbacks to infrastructure programmes and generous state subsidies. Earlier this year Bahrain’s parliament launched a probe of Mumtalakat, looking at alleged administrative violations at the fund after an audit report revealed irregularities at Bahraini state companies…………………………………Full Article: Source

Singapore’s Temasek reduces stake in Amyris Biotech

Posted on 28 May 2015 by VRS  |  Email |Print

Temasek Holdings has reduced its stake in Amyris Biotechnologies by 1.12 per cent, to 39,340,967 shares. The Singapore based fund now owns 36.12 per cent of the industrial bioscience materials company. Currently, Amyris has a market capitalisation of $160.65 million.
The company focuses on leveraging its bioscience technology to develop and provide renewable compounds for different industries. The firm applies an industrial bioscience technology platform to provide alternatives to select petroleum-sourced products that are used in the consumer care, specialty chemical and transportation fuel sectors……………………………………Full Article: Source

Temasek-Backed InnoVen Seeks Asia Expansion to Fill Lending Gap

Posted on 28 May 2015 by VRS  |  Email |Print

InnoVen Capital India, controlled by Temasek Holdings Pte, is seeking to expand its venture debt business across Asia as banks in the region shy away from lending to early-stage companies.
The seven-year-old Mumbai firm plans to use its underwriting model honed in India to expand into Southeast Asia this year and later to China, Chief Executive Officer Ajay Hattangdi said in a May 26 interview. InnoVen has provided debt to over 50 venture capital-backed companies including Snapdeal.com, the Indian web marketplace backed by billionaire Masayoshi Son’s SoftBank Corp……………………………………Full Article: Source

Zeti says report about 1MDB account in Singapore received

Posted on 27 May 2015 by VRS  |  Email |Print

Bank Negara has received information from the Monetary Authority of Singapore (MAS) about an account connected to 1Malaysia Development Bhd (1MDB) in BSI Bank Ltd in the republic, Bank Negara governor Tan Sri Zeti Akhtar Aziz said.
In a Bernama report, Zeti said Bank Negara had received a report from MAS about an account linked to the debt-ridden strategic investment firm at the Swiss-based BSI Bank. She said a report from MAS would be shared with other Malaysian agencies, but declined to name them for confidentiality…………………………………..Full Article: Source

What exactly are 1MDB assets in S’pore bank?

Posted on 26 May 2015 by VRS  |  Email |Print

This smells fishy. How could a statement on a paramount issue like 1Malaysia Development Berhad (1MDB) be casually written by a lowly ministry official without the approval of the finance minister whose job is on the line?
If indeed the minister did not vet through the statement as alleged given the severity of the matter, then the rakyat should seriously question the type of the minister we have put in charge of running our country. It would be little wonder that the country is in a state it is now………………………………………..Full Article: Source

Nigeria earned N12.3 trillion as excess crude oil money in 4 years – Okonjo-Iweala

Posted on 26 May 2015 by VRS  |  Email |Print

Nigeria earned a huge $61.7 billion (about N12.3 trillion) in four years as excess crude oil money, the finance minister, Ngozi Okonjo-Iweala, said Saturday. According to the minister, Nigeria earned about $18.14 billion in 2011; $18.16 billion in 2012; $15.19 billion in 2013; $8.01 billion in 2014, and $2.17 billion in 2015.
The Excess Crude Account is one of the two accounts (dollar and Naira) where the Nigerian government saves revenue earnings from the difference between budgeted benchmark crude oil price and the actual price at the international market in a given year………………………………………..Full Article: Source

Fortis redeems FCCBs worth $100m held by GIC: Report

Posted on 25 May 2015 by VRS  |  Email |Print

Fortis Healthcare, the second-largest Indian hospital chain by revenues, has redeemed $100 million worth of outstanding foreign currency convertible Bonds (FCCBs) listed on the Luxembourg Stock Exchange, a report said.
The report by VCCircle said these FCCBs were purchased by Singapore sovereign wealth fund GIC in May 2010. These bonds were optionally convertible at Rs 167 ($2.63) per share with a yield-to-maturity of 5.537 per cent per annum. As of May 2015, Fortis maintains a market capitalisation of $1.23 billion, according to a Reuters quote………………………………………..Full Article: Source

Restructuring plans for 1MDB to be tabled next week to Cabinet

Posted on 22 May 2015 by VRS  |  Email |Print

1Malaysia Development Berhad’s (1MDB) restructuring report is expected to be tabled to the Cabinet next week, Second Finance Minister Datuk Seri Ahmad Husni Mohamad Hanadzlah said. He said the restructuring of the alleged debt-ridden government investment arm was possible and he had concrete plans on how to do so.
“Whenever you want to do a restructuring, firstly you have to know what their position is, which is very clear.Then you have to look at how to go from there and for that we have concrete plans. I’m completing the report and next week I will table it to the Cabinet. After that maybe we can announce the next part of 1MDB’s restructuring,” Ahmad Husni said………………………………………..Full Article: Source

Ahmad Husni: 1MDB’s US$1b assets in BSI Bank was ‘mistaken’ as cash

Posted on 22 May 2015 by VRS  |  Email |Print

Second Finance Minister Datuk Seri Ahmad Husni Mohamad says 1Malaysia Development Bhd (1MDB) has made a mistake and misinterpreted the nature of its assets kept in BSI Bank in Singapore. “I feel it was a mistake, a mistake in the nature that it was interpreted when 1MDB said that it had redeemed (US$1.1 billion from Cayman Islands) and kept it in a bank in Singapore,” he told reporters at Parliament lobby.
Ahmad Husni explained that it was “assets” and not cash that was redeemed from Cayman Islands as reported before. “It is actually savings (in the form of unit)… that is unit, that it is, unit that is being backed by the sovereign wealth fund,” he said………………………………………..Full Article: Source

Cash, then assets, 1MDB funds in Singapore now in ‘units’

Posted on 22 May 2015 by VRS  |  Email |Print

1Malaysia Development Berhad (1MDB) is experiencing “short term” cashflow problem with the ability to pay its debts, said Finance Minister II Datuk Seri Husni Hanadzlah. He assured that the Government would find a solution for the debt-laden government investment arm.
“The problem is a short term cashflow problem, that is all. We will settle it. In terms of asset quality, they have the assets to pay all. It is only a short term cashflow problem,” he told reporters at Parliament lobby, Thursday. Husni said 1MDB might have misinterpreted the investment of US$1.103bil (RM4bil) in BSI Bank (Singapore) Ltd………………………………………..Full Article: Source

Negative Rates in Europe, Shifted Sovereign Fund Behavior

Posted on 21 May 2015 by VRS  |  Email |Print

Asian and Middle Eastern sovereign wealth funds and large pension investors have been awarding a slurry of mandates to opportunistic credit managers. For example, in May, the £4.8 billion London Pensions Fund Authority hired Apollo Global Management for a £150 million allocation to target distressed debt, real estate debt, leveraged senior loans and private lending in developed markets.
hina Investment Corporation (CIC) recently moved forward on a deal to invest in WLR Cardinal Mezzanine Fund, a €350 million debt fund, co-managed by private equity firm WL Ross & Co. and Dublin-based Cardinal Capital Group. These public institutional investors have been trying to decrease any unnecessary long-term exposure to the European sovereign debt market………………………………………..Full Article: Source

Investment Corporation of Dubai posts 83% profit rise

Posted on 20 May 2015 by VRS  |  Email |Print

Investment Corporation of Dubai (ICD) posted an 83.5 per cent increase in profit during the first half of last year compared with the year-earlier period, the sovereign wealth fund said. Net profit attributable to the equity holders of ICD rose to Dh12.08 billion in the six months ended June 30 compared with Dh6.58bn in the year-earlier period, the fund said in a statement to Nasdaq Dubai.
ICD did not give a reason for the profit increase. Revenue increased by nearly 14 per cent to Dh98bn in the first half of last year from Dh86bn in the year-earlier period. Total assets grew 5.8 per cent to Dh643.7bn from Dh608.3bn in the comparable period the previous year………………………………………..Full Article: Source

After latest funding, Flipkart valued at $15 billion

Posted on 20 May 2015 by VRS  |  Email |Print

Flipkart has raised $550 million from some of its existing investors, in a deal that now values the company at about $15 billion, The Wall Street Journal reported on Tuesday, citing an unnamed source.
In December, the online e-commerce player had got a cash infusion of $700 million, raising a total of nearly $2 billion in 2014. Morgan Stanley Investment Management, DST Global, run by Russian billionaire Yuri Milner, Singapore sovereign-wealth fund GIC, Scotland-based independent investment firm Baillie Gifford and Hong Kong’s Steadview Capital are among some of Flipkart’s existing investors………………………………………..Full Article: Source

Azerbaijani State Oil Fund reveals revenues from Shah Deniz project

Posted on 19 May 2015 by VRS  |  Email |Print

The revenues of Azerbaijani State Oil Fund from the implementation of the project for development of Shah Deniz project totaled $2.237 billion since 2007 to May 1, 2015, SOFAZ told Trend May 18.
SOFAZ said its revenues from Shah Deniz project stood at $117.2 million in Jan.-Apr. 2015, including $37.7 million in April. The contract for development of the Shah Deniz offshore field was signed on June 4, 1996. The field’s reserve is estimated at 1.2 trillion cubic meters of gas………………………………………..Full Article: Source

POSCO to finalize cooperation deal with Saudi fund

Posted on 18 May 2015 by VRS  |  Email |Print

POSCO Co., South Korea’s largest steelmaker, likely will sign a comprehensive cooperation deal with South Arabia’s sovereign wealth fund next month that includes the sale of a stake in its construction unit, industry sources said Sunday.
POSCO was supposed to complete the deal with the Public Investment Fund (PIF) earlier last month to sell a 38 percent stake in POSCO Engineering & Construction for about US$1 billion………………………………………..Full Article: Source

Alaska Permanent Fund returns 2.8% in quarter, up 4.7% for 9-month period

Posted on 14 May 2015 by VRS  |  Email |Print

Alaska Permanent Fund Corp., Juneau, returned 2.8% in the quarter ended March 31 and 4.7% in the fiscal year-to-date, said a news release from the $53.9 billion sovereign wealth fund. The fund’s strategic risk benchmark returned 2.2% and 2.7%, respectively, during the same periods. The permanent fund’s fiscal year ends June 30.
For the quarter, the best-performing asset class was the fund’s outsourced CIOs at 4.7%, followed by global equities at 3.4%. The rest of the asset classes were international equity, which returned 2.9%; private equity, 2.7%; domestic equity and real estate, 2.5% each; international fixed income, 2.2%; domestic fixed income, 1.6%; absolute return and infrastructure, 1.3% each; multiasset emerging markets, 0.5%; and private markets OCIOs, -1.2%……………………………….Full Article: Source

KIC portfolio ends 2014 at $84.7 billion, up 17.6% from year before

Posted on 13 May 2015 by VRS  |  Email |Print

Korea Investment Corp.’s investment portfolio was valued at $84.7 billion at the end of 2014, up 17.6% from the year before, said its latest annual report, released Monday. For the year, KIC posted a total investment gain of $2.7 billion, or 3.8%, on total assets under management after costs, and 9.79% against a basket of 33 currencies used by the sovereign wealth fund. For the past five years, the corresponding figures for the fund’s annualized returns were 7.43% and 5.66%, respectively.
A KIC spokesman couldn’t immediately explain why the fund’s year-end value of $84.7 billion was up a much stronger 17.6% for the year. At the end of 2014, equities accounted for 43.8% of KIC’s portfolio, down from 48.4% the year before. Fixed income, meanwhile, stood at 39.2% of the portfolio, up from 34.3% the year before………………………………………..Full Article: Source

Temasek’s contribution sought for govt coffers

Posted on 13 May 2015 by VRS  |  Email |Print

A constitutional change was sought yesterday to make Temasek Holdings a bigger contributor to the Government’s coffers, as Singapore prepares for more social and infrastructure spending. The Constitution of the Republic of Singapore (Amendment) Bill - one of six new Bills tabled in Parliament yesterday - will allow the Government to include Temasek in its Net Investment Returns framework.
Set up in 2009, the framework allows the Government to spend up to half of the long-term investment returns on the net assets managed by the Monetary Authority of Singapore and GIC. Yesterday’s proposed amendment will bring Temasek into the fold………………………………………..Full Article: Source

How the QIA Deal for Claridge’s Hotel Group Came Together

Posted on 13 May 2015 by VRS  |  Email |Print

Two weeks ago, a press release from Colony Capital, the Los Angeles-based real estate firm run by Thomas Barrack, ended one of the highest profile and most acrimonious property battles of recent times. Colony announced that Constellation Hotels Holding, an arm of the Qatar Investment Authority (QIA), had bought Irish investor Paddy McKillen’s 36 percent stake of the Maybourne Hotels Group, handing control to the sovereign wealth fund.
The deal represents the denouement of an epic struggle for control of three of London’s most storied hotels — Claridge’s, the Berkeley, and the Connaught — that has pitted the brothers David and Frederick Barclay, billionaire owners of the Telegraph Media Group and the Ritz Hotel in London, against McKillen and Derek Quinlan, a former tax inspector turned major property investor, both aligned with QIA………………………………………..Full Article: Source

Russia Wealth Fund to Team With China for $25 Billion of Lending

Posted on 11 May 2015 by VRS  |  Email |Print

Russia’s sovereign wealth fund will join China Construction Bank Corp. to deliver as much as $25 billion in loans as western sanctions push President Vladimir Putin to look to Asia for financing. China Construction Bank will provide 85 percent of loans each totaling as much as $1.5 billion, with the Russian Direct Investment Fund lending the other 15 percent, RDIF Chief Executive Kirill Dmitriev said in a phone interview.
RDIF is a unit of Vnesheconombank, the state development bank. “In essence, we guarantee a part of the loan,” Dmitriev said. As many as 70 of Russia’s largest companies could borrow under the plan, he said………………………………………..Full Article: Source

banner
August 2015
M T W T F S S
« Jul    
 12
3456789
10111213141516
17181920212223
24252627282930
31