The Saudi Public Investment Fund plans to invest approximately $ 10 billion questyear in stock markets, according to Bloomberg sources.
The management of the Public Investment Fund arrives in a move for more than double the fund’s assets by 2025.
The sources added that the sovereign wealth fund is looking to invest based on a strategy that focuses on areas including e-commerce and renewable energy sources.
The Public Investment Fund, chaired by Crown Prince Mohammed bin Salman, is seeking to buy global stocks based on an objective strategy that focuses on areas such as e-commerce and renewable energy sources. Shopping in global equities is in addition to the direct investments of the Fund in international companies and their local operations.
The Saudi Asset Fund has accumulated approximately $ 500 billion asset, playing a leading role in global markets since it received a $ 40 billion transfer from the kingdom’s reserves in early 2020, when the pandemic brought stock markets down. The money was used to buy holdings in companies including Citigroup Inc. and Facebook Inc. and Carnival Corp, a cruise ship operator, which sold them a few months later.
The Governor of the Fund for Public Investment, Yasser Al-Rumayyan, said more than a year ago that it aims to invest around 80% of its investments in the Saudi economy, with the rest being spent internationally.
A document outlining the fund’s strategy for 2021-25 states that it aims to “grow and diversify the investments of the PIF’s international portfolio in general, across geographies, asset classes and sectors, and away from the local economy and oil and gas industries. “
The assets of the public investment fund, including its shares in local companies, are worth nearly $ 200 billion, according to data compiled by Bloomberg, which is dominated by its holdings in Lucid Group Inc. and Saudi telecommunications company.
The fund more than tripled its holdings in US listed companies in stock market from the end of 2020 to $ 43.4 billion during the third quarter of last year. Investments in video game makers began in 2021 and have recently added holdings in Chinese e-commerce and clean energy companies, PayPal Holdings Inc and Plug Power Inc, as well as Alibaba Group Holding Ltd.
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