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Alternative Market Briefing

State-Owned Investors recover value of their assets under management to US$ 50 trillion

Tuesday, January 02, 2024

Matthias Knab, Opalesque:

Global SWF presented its 2024 Annual Report on January 1. According to Diego Lopez, Founder and MD of Global SWF, 2023 saw State-Owned Investors recover the value of their assets under management to circa US$ 50 trillion (including Central Banks), with SWFs reaching a historic high at US$ 11.2 trillion.

Yet, there was significant market volatility and geopolitical uncertainty, and funds continue to be cautious in terms of capital deployment. SWFs invested US$ 125 billion (-20%); while PPFs deployed US$ 80 billion (-26%).

Saudi Arabia's PIF was the biggest spender with an impressive US$ 31.6 billion, of which 42% was invested in the Kingdom. Singapore's GIC and Temasek dropped their activity by -51%, while Canada's Maple Eight funds invested -36% less.

The "Oil Five" (ADIA, Mubadala, ADQ, PIF, QIA) are more active than any other group and invested US$ 74 billion in 2023. The region of the year was "GCC+" and so the report does a deep dive into the region's major funds, looking at past, present and future.

The much awaited "2023 Fund of the Year" award went to the world's largest SWF, NBIM, given its strong recovery from 2022 and its leadership in global investing and stewardship. Do not miss the interview with its co-CIOs of Equities.

The theme of the year was undoubtedly Energy Transition, with green investing reaching a historic peak of US$ 26.1 billion. Emerging markets, including Saudi, Turkiye and UAE......................

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