| It is estimated that today around $4 trillion in assets are held by sovereign wealth funds. While other mature asset classes like pension funds are significantly larger, it is expected sovereign wealth funds will grow significantly and could surpass $6 trillion by 2012. In other words, they are here to stay.
A sovereign wealth fund can perform a number of different functions: it can be the source of long-term wealth creation, otherwise known as intergenerational equity, or have a shorter-term objective to stabilise revenue cycles..............................................Full Article: Source |