Oman Investment Fund seeks government nod for UCX stake buy

MUMBAI: Oman Investment Fund (OIF), the Sultanate of Oman's sovereign wealth fund, has filed a fresh application with the government to buy a stake in Universal Commodity Exchange (UCX), promoted by software solutions company, IT People, a person close to the development said.

$44 Billion Trade Deficit, The Other Monkey On The Economy’s Back

In 1992, the trade deficit was $44 billion dollars less than July’s trade report by the U.S. Census Bureau and the U.S. Bureau of Economic Analysis. While cutting spending has dominated the economic policy headlines, the other major impediment to growth and balancing the U.S budget isn’t being even looked at…

S. Korean Confidence Falls After Death of Kim Jong Il: Economy

Dec. 27 (Bloomberg) -- South Korean consumer confidence fell to a three-month low in December, as concern the political outlook in the North will worsen in the wake of Kim Jong Il’s death compounds the risk from Europe’s debt crisis.

Don't Worry About China: World Bank Chief Economist

As the Chinese economy tumbles into recession, the World Bank’s chief economist is embarking on a campaign to reverse negative perceptions about his home country’s prospects.

Exclusive: China's CIC to get $50 billion boost

BEIJING (Reuters) - China's $410 billion sovereign wealth fund China Investment Corp. is set to receive additional funding of up to $50 billion, two sources said, a step that could help it move quickly to buy overseas assets, especially in Europe.

Greece’s Creditors Resist Push for More Losses

Greece’s creditors are resisting pressure from the International Monetary Fund to accept bigger losses on holdings of the indebted nation’s government bonds, said three people with direct knowledge of the discussions.

Euro, stocks gain as ECB lending seen positive

(Reuters) - European stocks and the euro firmed on Wednesday, enjoying a brief surge after banks borrowed around $489 billion euros from the European Central Bank at its first-ever offer of three-year loans on hopes it will be a significant step toward easing the region's two-year old debt crisis.

Banking Worries Send Stocks Lower in U.S.

Financial stocks fell by more than 2 percent in the United States on Monday and shares were mixed in Europe after remarks by European Central Bank officials and the prospect of increasing capital requirements suggested further challenges ahead for banks.

Credit Suisse Races UBS Building Buffers in Fortress Switzerland

Dec. 19 (Bloomberg) -- UBS AG and Credit Suisse Group AG, Switzerland’s largest banks, are finding that the advantages of Europe’s toughest capital requirements are helping offset the costs as the region’s sovereign-debt crisis escalates.

Fitch Downgrades Ratings of Bank of America Corporation

NEW YORK--(BUSINESS WIRE)-- Fitch Ratings has downgraded the Issuer Default Ratings (IDRs) of Bank of America Corporation (BAC) to 'A/F1' from 'A+/F1+' and the viability rating (VR) to 'bbb+' from 'a-', and removed these ratings from Rating Watch Negative.

Gold Prices Struggle to Stay Near $1, 700

Gold prices fell Wednesday on negative economic news from China and Europe plus concerns that the world's No. 1 economy is barely advancing.

Gas riches near, Israel urged to form wealth fund

TEL AVIV — Like a lottery-ticket buyer suddenly confronted with a jackpot, Israel must take special care not to squander the enormous potential return from its offshore natural-gas fields.

Analysis: China's $300 billion fund a wake-up call to U.S.

BEIJING (Reuters) - China's plan for a new $300 billion sovereign wealth fund is as much a warning to Washington as it is a body blow to Brussels.

Russia told to clean up its act by OECD

Russia is being warned that the country’s future economic growth is likely to be hampered by a poor business environment, a lack of investment in innovation and heavy dependence on oil and gas sales.

Euro zone deal overlooks a major threat: lousy growth

Reuters) - Stricter budget discipline in the 17 countries that use the euro is all well and good, but investors fear it won't provide what the euro zone needs most of all: More economic growth.

Consumer Sentiment in U.S. Climbs

Confidence among U.S. consumers rose more than forecast in December as Americans’ outlooks improved.

Bargain Bank Values in Europe Fail to Lure Buyers Amid Crisis

Dec. 8 (Bloomberg) -- European banks are struggling to find buyers for at least $32 billion of businesses earmarked for sale as the sovereign-debt crisis drags on, raising the likelihood they’ll have to settle for fire-sale prices.

Consumer bureau chief showdown looms

WASHINGTON (CNNMoney) -- The Consumer Financial Protection Bureau -- a point of pride in the Obama administration's efforts to reform Wall Street -- faces a key test in the Senate on Thursday over whether it will have a director with real power.

S.&P. Warns Europe of Ratings Downgrades

Standard & Poor’s on Monday warned that it may strip the euro zone’s two biggest economies, Germany and France, of their top-notch AAA credit ratings as a result of the Continent’s economic crisis.

A change in attitudes key challenge for Greece

The crippling debt crisis has dominated Greek political life for the past two years but more than an economic problem, a solution requires a fundamental change in attitudes, analysts say.

8.6% unemployment rate won't help Obama (much)

NEW YORK (CNNMoney) -- The November jobs report contains some undeniably good news for President Obama, but the White House should keep the champagne on ice for now.

Crisis 'will take years to fix', says Angela Merkel

German chancellor Angela Merkel has said there is no easy fix to the European financial crisis, and that a solution will "take years".

Save The Eurozone! Restructure Italy, Get Germany To Pay, ECB To Backstop

With the European sovereign debt crisis spilling into core members, as evidenced by Germany’s failed bond auction last week, and into the private sector, there appear to be three key steps needed to save the Eurozone, as NYU economist Nouriel Roubini and Poland’s Foreign Minister Radoslaw Sikorski explained in op-ed pieces on Tuesday.

Europe crisis hits new peak on 'depression' alert

Europe reeled on Monday from warnings it faces "deep depression" if the eurozone collapses and that every EU nation's credit rating could be hit without firm action to stop the debt crisis.

House prices fall for tenth consecutive month

Land Registry figures showed that the house price index decreased 3.2pc in October, with the rate of declining speeding up from 2.6pc in September. London is the only exception to these house price falls, while the North East recorded the biggest fall in October.

China’s Sovereign Fund May Give ‘Indirect’ Support to Europe

Nov. 25 (Bloomberg) -- China’s sovereign wealth fund may give “indirect” support to Europe through investments without being the nation’s main route for any aid, said Jesse Wang, the executive vice president of China Investment Corp.

Black Friday's Midnight Madness Was 'Stroke of Genius'

The midnight store openings may have been marked by brawls and criticism, but one expert surveying the store results called the midnight madness a "stroke of genius" that is "here to stay."

European Industries Shrink as Global Slowdown Deepens Amid Debt: Economy

European services and manufacturing shrank further, industrial orders had the biggest drop in almost three years and China’s factories showed signs of contraction as a global slowdown deepened.

Europe is biggest threat to corporate earnings

NEW YORK (CNNMoney) -- Corporate earnings have enjoyed double-digit growth for eight straight quarters, but that euphoric run may be coming to an end, thanks to Europe's worsening debt crisis and a tepid U.S. economy.

MF Global: The mess that keeps getting messier

FORTUNE -- Big institutional investors are getting a taste of what many frustrated taxpayers experienced during the financial crisis: Being on the hook for losses of a major financial firm against their wishes.

Pension and SWFs offer hope for private equity fundraisings

Growing demand for private equity exposure from pension funds and sovereign wealth funds is expected to go some way to plug the gap left by a drop-off in allocations from insurance and financial institutions, according to research from Morgan Stanley.

Moore’s Coffey Gets Second Chance as Trader Fails to Impress

Nov. 18 (Bloomberg) -- Greg Coffey was described by Louis Moore Bacon as “one of the most impressive traders in the world” when the billionaire founder of Moore Capital Management LLC hired him in 2008 to help manage his hedge funds. His investment performance since has been subpar.

Britain Sells Northern Rock to Virgin Money for $1.2 Billion

LONDON – Britain agreed on Thursday to sell Northern Rock, the bank it nationalized more than three years ago, to Richard Branson’s Virgin Money in a deal that represents a loss for British taxpayers.

Europe: New leaders, same debt crisis

NEW YORK (CNNMoney) -- Europe's debt crisis is far from over.

Factbox: Progress on euro zone bailout fund leveraging options

BRUSSELS (Reuters) - The euro zone is working on two options for how to boost the firepower of its 440 billion euro European Financial Stability Facility bailout fund without putting more money into it.

Olympus dumped by major shareholder as Japan steps up probe

SINGAPORE/TOKYO (Reuters) - Singapore's sovereign wealth fund said on Saturday it has sold most of its holdings of Olympus Corp <7733.T> on concern about wrongdoing, the first major shareholder to show it had lost confidence in the scandal-hit Japanese medical device and camera maker.

Nigeria, SWFs, and the Resource Curse? Two New Papers

Nigeria, perhaps the world's poster child for the oil curse, is the latest country to deploy a sovereign wealth fund as a tool to try to better manage national income. At the same time, Nigeria is struggling with depleted savings and growing fiscal concerns, even in a time of high oil prices.

Libya wealth fund cash to finance reconstruction

DUBAI (Reuters) - Some of the over-large cash component of Libya's $65-billion sovereign wealth fund will be put to work financing post-Gaddafi reconstruction, leaving time for a full review of its less liquid investments.

European Debt Crisis as Berlusconi’s Last Stand

ROME — The European debt crisis appeared to claim its most prominent victim on Tuesday when Prime Minister Silvio Berlusconi of Italy, cornered by world markets and humiliated by a parliamentary setback, pledged to resign after Italy’s Parliament passes austerity measures demanded by the European Union.

Why China’s Sovereign Wealth Fund Is Not Interested In EFSF

Jin Liqun, an economist and the Chairman of China Investment Corp (i.e. China’s sovereign wealth fund), talked to Al Jazeera on how they look at investing in European Financial Stability Facility (EFSF). Or, he talked about why the sovereign wealth fund has little interest in investing in EFSF.

Greek PM Papandreou faces unity challenge over bailout

Greek PM George Papandreou has said efforts to form a new government of national unity will get under way soon.

Abu Dhabi Economic Vision Dims in Dubai-Like Property Slump

Abu Dhabi, the emirate that bailed out Dubai in 2009, set out to avoid the pitfalls suffered by its Persian Gulf neighbor with a decades-long plan to replace oil revenue with industry and tourism as drivers of growth.

Bill Gates urges G20 to live up to aid promises

Billionaire philanthropist Bill Gates told G20 leaders Thursday to protect aid budgets, saying cuts would not only hurt the poor but also undermine innovations in areas such as health and farming.

The Libyan Fallout – Lessons For Global Sovereign Wealth Funds: Efraim Chalamish

The Libyan Investment Authority, the sovereign wealth fund in which Muammar el-Qaddafi’s regime allegedly stashed and misused Libya’s oil wealth, has cast a dark shadow on SWFs all across the world.While no one should infer from the Libyan case that other SWFs are riddled with corruption and conflicts of interest, there are critical issues that are applicable to global corporations and funds.

Salmond scales up foreign loan application

t's not a great time for Qantas to ground its flights when so many Europeans are heading east to borrow money.

IndMin for Sovereign Wealth Fund to finance infrastructure

The Industry Ministry today pitched for setting up of sovereign wealth fund for infrastructure financing, which requires an estimated Rs 45 lakh crore (USD 1 trillion) in the next five years.

Wall St. Giants Seek a Piece of Nigeria’s Sovereign Fund

Nigeria, the West African nation that has gained notoriety for the illicit e-mail spammers aiming for Western bank accounts, is attracting attention for legitimate financial opportunities — investing its own savings.

Libya SWF probes $5 billion losses in Africa portfolio

Libya's sovereign wealth fund, the Libyan Investment Authority (LIA), which is conducting a review of all investments made by the toppled Muammar Gaddafi regime, has uncovered potentially large losses in its $5 billion Africa portfolio, its acting chief executive, Rafik Nayed, told Reuters.Nayed said that its investment operations are on hold while it looks through $65 billion in assets to examine dealings with people tied to Gaddafi.

Tipping the scales

AMERICA’S Securities and Exchange Commission (SEC) prosecuted insider trading for the first time in 1961, after a company employee tipped his broker that the firm would be cutting its dividend.

DPJ Policy Chief Proposes Japanese Sovereign Wealth Fund Article Video Stock Quote

Japan should set up a sovereign-wealth fund to fight the high yen, and sell as many government assets as possible to reduce reliance on tax increases to fund quake reconstruction, the ruling party's policy chief said Wednesday.

Morning business round-up: Slovakia takes centre stage

What made the business news in Asia and Europe this morning? Here's our daily business round-up:

he eurozone awaits a vote by Slovakia's parliament to bolster the powers of the bloc's bailout fund.

Wall Street down on rising concerns over Europe

NEW YORK: Stocks fell on Tuesday on news that a meeting by euro zone finance ministers was canceled, adding to doubts about the region's efforts to tackle its debt crisis.

China’s Sovereign Wealth Fund Tries to Bolster Stocks of Major Banks

HONG KONG — Trying to stem a steep decline in the stock prices of China’s four main banks, the nation’s sovereign wealth fund started buying their shares Monday and plans to buy more in the coming year.
That word, disclosed by the banks late in Monday’s trading session, helped their share prices rebound somewhat on the Hong Kong stock exchange.

FG Kickstarts Sovereign Wealth Fund with $1bn – ThisDay

Amid dialogue with the governors of the 36 states of the federation, the Federal Government Tuesday announced that it had commenced the implementation of the Sovereign Wealth Fund (SWF) with a seed capital of $1 billion from the Excess Crude Account (ECA).

Minister of Finance and Coordinating Minister for the Economy, Dr. Ngozi Okonjo-Iweala, who made the disclosure at a media parley in Abuja, said the government was launching the implementation of the SWF with a series of initial steps designed to build a strong foundation for achieving the objectives of the Fund as encapsulated in the Nigerian Sovereign Investment Authority (NSIA) Act.

Al Gore Urges Sovereign Wealth Funds to Focus on Sustainability

The world's sovereign wealth funds (SWFs) must take a longer-term investment view in order to realize their full potential in building a more sustainable economic system, former U.S. Vice-President Al Gore told a conference on Tuesday.

Facing multiple financial, climatic, and demographic challenges ahead, "long-term investors need to be financially incentivized to consider long-term investment approaches," said Gore, co-founder and chairman of Generation Investment Management, a partnership focused on a new approach to sustainable investing.

Nigeria Starts Sovereign Wealth Fund With $1 Billion

Nigeria, Africa’s top oil producer, started a sovereign wealth fund with an initial capital of $1 billion and hired KPMG to select its management team.

“It is clear that given current challenges facing our economy and the global financial crisis, we cannot afford to waste any more time,” Finance Minister Ngozi Okonjo-Iweala told reporters in Abuja today. “What we have done can be compared to opening an account for the sovereign wealth fund and commencing with other necessary procedures in preparation for full implementation.”

Kuwait's sovereign wealth fund eyes greater China investment

Kuwait: Kuwait Investment Authority (KIA), the state's sovereign wealth fund, plans to boost its investments in China after opening an office in the world's second largest economy, a KIA official told the state news agency.

"China has huge potential, which presents opportunities that KIA can seize on the back of China's steady economic growth," Fahd Al Shatti, the head of KIA's newly opened office in China, was quoted as saying by Kuna yesterday.

Europe needs plan before China invests

China's sovereign wealth fund will be willing to invest in Europe once the continent presents a clear solution to its debt crisis, reforms its welfare system and invests money in itself, an official says.

With concerns about excessive debt threatening to bankrupt Italy and Spain and destabilising banks across the continent, European leaders have promised to offer proposals that will calm investors at their summit on Sunday.

Libya's shadow on sovereign wealth funds

NEW YORK: As Libya's citizens rebuild their lives and economy, undoing the corruption in the Libyan Investment Authority (LIA), the sovereign wealth fund in which Muammar Gaddafi's regime allegedly stashed and misused Libya's oil wealth, is becoming a priority.

The National Transitional Council is debating who should take over Libya's Central Bank and the LIA's assets - an especially important decision, given that oil production is not expected to return to pre-war levels for several years.

China’s CIC to Invest $1 Billion in Kremlin-Backed Fund

China Investment Corp., the nation’s sovereign-wealth fund, agreed to contribute $1 billion to a Russian private-equity vehicle, the first foreign commitment to a project championed by President Dmitry Medvedev.

Beijing-based CIC, which oversaw $409.6 billion by end-2010, plans to invest in a new Russia-China Investment Fund, Kirill Dmitriev, head of the Russian Direct Investment Fund that will co-manage the new vehicle, said by phone from Beijing yesterday, where the agreement was signed during a visit by Prime Minister Vladimir Putin.

China’s Sovereign Wealth Fund Tries to Bolster Stocks of Major Banks

HONG KONG — Trying to stem a steep decline in the stock prices of China’s four main banks, the nation’s sovereign wealth fund started buying their shares Monday and plans to buy more in the coming year.

That word, disclosed by the banks late in Monday’s trading session, helped their share prices rebound somewhat on the Hong Kong stock exchange.

Qatari Sovereign Fund Seen As Buyer Of Dexia Luxembourg Bank

BRUSSELS (Dow Jones)--The Qatar Investment Authority, the nation's sovereign wealth fund, is the leader of a consortium of investors that is set to buy Dexia SA's (DEXB.BT) Luxembourg retail banking subsidiary, a person familiar with the discussions said Thursday.

The sale is part of a plan to break up Dexia set in motion after Moody's Investors Service this week warned that the bank's heavy dependence on wholesale funding threatened its stability.

Wealth fund dropped over meddling fear

The Finance Ministry and the Bank of Thailand yesterday agreed not to tap the country's foreign reserves to establish a sovereign wealth fund, easing market concerns about government interference in the central bank.

The proposal, initiated by the ministry, would look to invest some of the country's US$180 billion (5.6 trillion baht) in foreign reserves in higher-performing assets other than low-yielding government bonds.

Qatari wealth fund on gold buying spree

The Qatari Royal family plans to spend up to $US10 billion ($10.4 billion) buying stakes in gold producers through their sovereign wealth fund, The Daily Telegraph can disclose.

The fund is seeking to invest in a range of natural resources, but gaining access to physical gold is its top strategic priority.

Yesterday, Qatar Holdings, which controls the wealth of the Middle East state’s royal family, confirmed it would invest about $US1 billion in European Goldfields, a London-listed miner currently developing the largest gold-mining project in Greece.

Sovereign Wealth Fund: FG, governors meeting deadlocked

ABUJA – NEGOTIATIONS between the Federal Government and the 36 state governors on the implementation of the Sovereign Wealth Fund, SWF have been deadlocked.

The meeting, held at the Rivers State Governor’s Lodge, Asokoro, Abuja, under the aegis of Nigeria Governors’ Forum, failed to reach an agreement with the Federal Government on modalities for the implementation of the SWF.

Qatar sovereign wealth fund: Europe in biggest crisis in 50 years

FRANKFURT: The head of Qatar's $100 billion sovereign wealth fund said Greece's debt crisis was Europe's worst in decades, telling a German newspaper Handelsblatt the outlook precluded making long-term investment decisions.

"Currently, we can only act with a view to the short term, longer term forecasts cannot be maintained in view of the insecure situation in Europe and the United States," Qatar Holding chief executive Ahmad Mohamed Al-Sayed was quoted as saying in an interview.

DPJ Policy Chief Proposes Japanese Sovereign Wealth Fund

TOKYO—Japan should consider setting up a sovereign-wealth fund to both take advantage of the strong yen and try to push down the currency, Seiji Maehara, policy chief of the ruling Democratic Party of Japan said Wednesday.

"We need to think of ways to convert the yen into foreign currencies, and I've told the prime minister we should consider it," Mr. Maehara said in an interview, adding that Prime Minister Yoshihiko Noda said he would look at such a move.

GCC Sovereign Wealth Funds monitor European opportunities

The eurozone is in crisis, and many expect that Middle East money will be used to help bail out struggling European banks and even governments. But with no guarantees the eurozone will even survive its current troubles, might Gulf Sovereign Wealth Funds be reluctant to help out this time around?

Two of Greece's biggest banks are in advanced talks over a merger, which would see Alpha Bank, the country's second-largest bank, take over Eurobank, which failed recent stress tests designed to calculate how the institutions would cope in any future financial meltdown.

Sovereign wealth funds to keep MENA M&A ticking, says HSBC chief

Increased appetite from sovereign funds and restructuring-driven asset sales will help drive a modest recovery in mergers and acquisitions (M&A) in the Middle East and North Africa (MENA), the head of HSBC’s regional advisory business said.

While global markets are teetering under the impact of a sovereign debt crisis in the euro zone and a slowdown in the U.S. economy, a sharp fall in asset values may present an opportunity for these cash-rich funds with a mandate to invest their state’s hydrocarbon revenues, Omar Mehanna told Reuters.

Future fund asserts defensive strategy

Australia’s A$75bn ($73bn) Future Fund has failed to reach its mandated benchmark return over its five-year history, but David Murray, the Fund’s chairman, says that is no reason to change its defensive investment strategy.

Speaking at an Institute of Company Directors’ function in Melbourne last week, Mr Murray – a former chief executive of the Commonwealth Bank – said the Fund needed to “keep its powder dry” in the face of the global economic situation, which he said could result in a “20-year” malaise on world markets.

Wealth funds to pour billions into shares worldwide

Sovereign Wealth Funds (SWFs) are preparing to pour billions of dollars into shares around the globe as they take advantage of low prices in the latest stock-market collapse.

Mike Burns, the executive director of the $40bn Alaska Permanent Fund, told The Independent on Sunday that the SWF’s board will meet on Friday to discuss moving hundreds of millions of dollars from fixed-income products, such as bonds, to shares.

New Libyan Sovereign Wealth Fund Chief Seeks Probes

One of the first orders of business in post-Moammar Gadhafi Libya is to clean out the rotten wood.

Tops on that list is investigating corruption at the Libyan Investment Authority, the country’s sovereign wealth fund. Rafik Nayed, the fund’s acting chief executive, said in an interview with the Wall Street Journal that its investment operations are on hold while it looks through $65 billion in holdings to examine dealings with people tied to Gadhafi.

Tysons Corner Center just a piece of oil-backed Alaska wealth fund’s portfolio

Tysons Corner awaits a Metro stop that will connect it more closely to Washington, but the sprawling shopping mall is already linked to a place even farther away: Alaska.

The Alaska Permanent Fund, the state’s sovereign wealth fund, owns half of Tysons Corner Center, just one piece of a $38 billion portfolio amassed in the four decades since the state’s coffers started overflowing with oil revenue.

Korea's Sovereign Wealth Fund Considers Raising Bank of America Stake

SEOUL—South Korea's sovereign-wealth fund is considering investing the remainder of a dividend it received from Bank of America Corp. to increase its stake in the U.S. banking giant from 0.67%, and it will address its investment plans at a meeting Wednesday, people familiar with the matter said Friday.

Word of the possible investment comes after Korea Investment Corp., which invests funds from the Ministry of Strategy and Finance and the Bank of Korea, reinvested $78 million of the $145 million in dividends it has received from Bank of America in several transactions earlier this year.

Sovereign wealth: Spending stays close to home

Gulf governments will be spending more money on the home front this year, as they try to placate their populations with job creation and infrastructure projects.
Depending on the oil price, that may mean less investment overseas or a more focused approach to foreign investment, analysts say.

It is difficult to generalise about sovereign wealth funds in the region. The Qatar Investment Authority spends quite differently from the one in Abu Dhabi, while Saudi Arabia invests the majority of its sovereign funds through its central bank.

Chinese sovereign wealth funds should dump US stocks, report says

Chinese sovereign funds such as Safe Investment Company and CIC should consider dumping and even shorting US retail stocks during US economic downturns, if they want to adopt an integrated asset and liability management process when making investment decisions, according to a new paper by the Edhec-Risk Institute

The Edhec-Risk Institute in Singapore has recommended that Chinese sovereign entities hold no exposure to the stocks of US retail companies or that they short such stocks to hedge against appreciation of the renminbi as well as hedging a fall in US consumer demand.

Our Problem With Sovereign Wealth Fund– Aliyu

The Niger State governor, Babangida Aliyu, has stressed that contrary to reports in the media, the state governors were not against the Sovereign Wealth Fund. According to him, the method of implementation was the problem. The governor also urged the Federal Government to be courageous enough to unbundle the Power Holding Company of Nigeria (PHCN) and implement all the reports and decisions taken under the power sector reforms.

The governor said this at the maiden convocation lecture of the Fountain University, Osogbo, on Friday, where he officiated as the guest speaker.

SWFs Can Aid Global Economic Recovery According to Alexander Mirtchev

Washington, DC (WiredPRNews.com) Sovereign wealth funds (SWFs) in their new guise of established market players can contribute to the economic recovery strategies of the developed economies, considers Dr. Alexander Mirtchev.

Soaring debt, anemic growth, intransigent unemployment, social unrest…these are the fundamental challenges that America could be facing as Congress gears up to consider President Obama’s new jobs plan. One proposal that is unlikely to surface during the debate is a greater openness to sovereign wealth funds. Why? Among others, SWFs’ past ‘trophy asset’ sprees have not played well in the U.S., reinforcing concerns about the balance between their political and economic objectives. SWFs are, after all, the investment arms of resource-rich or export-oriented countries and if they choose to use these funds more to achieve political goals rather than for pure business purposes, they are seen in some quarters as undermining confidence and distorting global capital flows.

Governors and Sovereign Wealth Fund

For every nation worth its salt, it is imperative to save and invest a certain proportion of it wealth as part of a deliberate effort to drive growth and development. China, for example, has $827 billion in its SWF, United Arab Emirate $709 billion, Saudi Arabia $444.4 billion, Kuwait $202 billion and Libya $70 billion. The Funds have helped these nations achieve their development objectives.

The Federal Government has tried to take a cue from these countries by setting up its own Sovereign Wealth Fund. The bill was passed by both houses of the National Assembly and signed into law by the President. The SWF replaced the Excess Crude Account (ECA) which was the accumulation of windfall savings from oil prices above the budget benchmark. The ECA had been depleted uncontrollably in past years. Therefore, the SWF provides a legal framework for the disbursement of excess crude funds.

North America key area for investments

Abu Dhabi: Abu Dhabi Investment Authority (Adia) said in its annual review yesterday that 35 to 45 per cent of its portfolio is currently invested in developed equities while 10 to 20 per cent is in emerging market stocks and up to 20 per cent in government bonds.

The sovereign wealth fund said 35 to 50 per cent of its investments are located in North America, followed by Europe and Asia, while only 15 to 25 per cent is held in emerging markets.

Italy confirms talks with China's sovereign wealth fund amid crisis

ROME - Italy is confirming reports that the treasury minister has met with China's sovereign wealth fund, amid speculation that Rome is looking to persuade Beijing to buy Italy's bonds or invest in its companies.

A spokesman for Finance Minister Giulio Tremonti on Tuesday confirmed the meeting with the chairman of China Investment Corp., Lou Jiwei, but declined further comment.

Emerging markets may lure more pension funds: IMF

(Reuters) - Deep-pocketed pension and insurance funds may increase their investments in equities and other riskier assets in emerging and developing countries as they struggle with historically low interest rates in industrialized markets, the IMF said on Tuesday.

Pension plans of Canada, Germany, Japan, Switzerland, Britain and the United States, which typically rely on traditionally safe investments such as bonds, are in danger of being unable to cover what they owe beneficiaries, in part because of low interest rates, the IMF said in its Global Financial Stability Report.

WSJ: Ex-Gadhafi Officials Remain At Libyan Sovereign Wealth Fund

The new Libyan government is said to be examining the Libya Investment Authority and its dealings with foreign banks

But the man in charge fears his scrutiny could be hindered by the continuing presence of Gadhafi-era fund managers

One rebel leader said the government should create an independent audit commission with the power to bring fraud charges

SocGen Deals With Libya Sovereign Fund Eyed By New Government

Officials in Libya’s new governing authority are looking into whether any payments made by Société Générale SA as part of its relationship with the Libyan Investment Authority made it into the hands of people close to the ousted regime of Col. Moammar Gadhafi, the Wall Street Journal reported.

The Journal reviewed documents showing that the French bank paid an unspecified amount to a Panama-registered company, Leinada Inc., to help structure and advise a $1 billion investment vehicle in 2008 for the LIA, Libya’s sovereign wealth fund. The company’s role isn’t clear, but some sovereign wealth fund officials criticized it before the uprising started in February, according to the Journal report.

SocGen Deals Eyed by Libya

Officials working with Libya's new governing authority are examining whether any payments made by Société Générale SA as part of its business relationship with the Libyan Investment Authority ended up in the hands of people close to Col. Moammar Gadhafi's regime.

The French bank paid an unspecified amount to a Panama-registered company, Leinada Inc., to help structure and advise a $1 billion investment vehicle in 2008, according to deal-related documents reviewed by The Wall Street Journal. Leinada's exact role isn't clear, but the company's involvement was criticized by some officials at Libya's sovereign-wealth fund before fighting engulfed the country.

Pension funds in new crisis as deficit hole grows

Pension funds in developed economies are facing a new crisis as falling equities and tumbling bond yields widen their deficits, threatening the incomes and retirement dates of future retirees.

At the heart of their problems is a steady move by pension plans in the United States, euro zone, Japan and the UK to cut exposure to risk after the financial crisis.

Australian PM rules out sovereign wealth fund

SYDNEY — Australian Prime Minister Julia Gillard Wednesday ruled out creating a sovereign wealth fund, saying the nation's mandatory pension savings were an "anchor" in volatile economic times.

Some business figures have called for the establishment of a sovereign fund to capture the earnings of a mining boom fuelled by demand from Asia.

Nigeria: Let the Sovereign Wealth Fund Be

Within a period of less than a year that he was Finance Minister, Mr Olusegun Aganga was able to conceive the idea of the Sovereign Wealth Fund (SWF), mobilise the support of the relevant stakeholders, initiate an executive bill which was forwarded the National Assembly, get it passed in record time and have the president assent to it.

It is a remarkable feat that demonstrates what commitment to noble ideals can achieve with the right people driving the process.

Libyan sovereign wealth fund 'missing $2.9bn'

Some $2.9bn (£1.8bn) is missing from the accounts of the Libyan sovereign wealth fund, the official tasked with tracking down Libya's foreign investments has told the BBC.

Mahmoud Badi said investigations had found "misappropriation, misuse and misconduct of funds" at the Libyan Investment Authority (LIA).

The LIA has total funds worth about $70bn.

Nato joins attack on Gaddafi bastion

Some $2.9bn (£1.8bn) is missing from the accounts of the Libyan sovereign wealth fund, the official tasked with tracking down Libya's foreign investments has told the BBC.

Mahmoud Badi said investigations had found "misappropriation, misuse and misconduct of funds" at the Libyan Investment Authority (LIA).

India's sovereign wealth fund plans gaining momentum

India's sovereign wealth fund plans are gaining momentum. The proposed USD 10 billion fund will shop for energy assets including crude oil, gas and coal, reports CNBC-TV18s Aakansha Sethi.

It has been on the table since 2010 as a very important strategic initiative. It was first proposed by the Planning Commission to support Indians energy security and its growth plans by acquiring energy assets abroad.

Korean chaebol and Arab wealth fund bid for Hynix stake

According to the Wall Street Journal, a Korean Chaebol may join forces with an Arab sovereign wealth fund to take up a 15% stake in Hynix which would give them management control of the memory company.

The Chaebol, STX, builds ships among other activities. It owns the European ship building interests formerly operated by Kvaerner, Alstom and Aker which include shipbuilding yards in Brazil Finland, Norway, France, Rumania and Vietnam.

Thai Oil pushes for talks on sovereign wealth fund

By WATCHARAPONG THONGRUNG

Thai Oil supports a joint discussion of the Bank of Thailand, the Finance Ministry and the Energy Ministry on the establishment of a sovereign wealth fund, which could earn better returns from growing foreign reserves.

Surong Bulakul, chief executive officer of Thai Oil, said that with such fund, Thailand would have a mechanism to manage public-sector risks in the same way as Singapore, Malaysia and South Korea.

Global Ideas From Alaska's Sovereign Wealth Fund

Tony Gray's book 1,000 miles From Wall Street extolled the clarity investors can find far from the noise and haste of financial centers. In the wake of recent volatility, perhaps an idea from 3,000 miles away could be even better.

Juneau, Alaska is home to the Alaska Permanent Fund Corporation, the locus of a roughly $40 billion state fund. While small by the standards of Middle East sovereign wealth funds, the Alaska Permanent Fund is unique among states. The fund found its genesis in the state's oil wealth and it has paid a dividend to every resident since 1982. The amount is based on a five-year average of the fund. Founded in 1980, the APFC is frequently cited as among the most transparent sovereign wealth funds in the world, and its history, investments and historical performance can be viewed at its website.

Sovereign wealth fund could quell nationalisation talk

The discussions around nationalisation create uncertainty and all investors dislike uncertainty. The discussion of a change in regime detracts from investment, so any discussion of this sort will not be good for investments, says Coal of Africa chairperson and mining entrepreneur Richard Linnell.

He tells Mining Weekly that he is not adverse to the ‘correct form of nationalisation’. “However, I am frightened by irrational and uninformed discussion on something that is actually quite difficult and, because there is political merit in the debate, it attracts attention and people tend to get frightened by it. You cannot discount the political merit – it just has to be managed correctly,” Linnell says.

Sovereign fund's losses roil Norwegians

Sticking to a financial plan can be challenging, even if you are the world’s largest sovereign wealth fund.

Or, so it seems, sometimes, for Norway’s Government Pension Fund Global and the handful of active traders at Norges Bank Investment Management -- challenged during the first two weeks of August to explain the loss of 200 billion kroner ($372-million U.S.) in equity value, as much as its stock losses for all of the second-quarter.

Sovereign wealth funds drop Europe for Asia

Sovereign wealth funds are turning their focus towards Asia after a trend for investing heavily in Europe came to an abrupt halt in 2010, according to a report by US research and consultancy firm Monitor Group.

The report entitled ‘Braving the New World: Sovereign Wealth Fund Investment in the Uncertain Times of 2010’ analysed the investment behaviour of 30 of the world’s leading sovereign wealth funds.

Global market sell-off hits Asia

Asian investors are suffering from a bout of déjà vu following the rout in the Asian region’s equity markets at the beginning of August.
Stock market turmoil caused by the effects of the concerns over the European sovereign debt crisis, the prolonged US budget discussions and the subsequent credit downgrade of the US caused the region’s markets to lose as much as 10 per cent of their value in the first week of August.

Norway’s Oil Fund Posts Lower Gains

Norway’s sovereign wealth fund suffered its smallest quarterly gain in a year, foreshadowing this month’s global stock rout amid concern U.S. and European economic growth is stalling.

The $534 billion Government Pension Fund Global returned 0.3 percent, as measured by a basket of currencies, in the second quarter, the Oslo-based investor said today. The stock portfolio fell 0.7 percent and its bonds holdings rose 1.8 percent. It was the worst performance since a loss in the second quarter of 2010.

Abu Dhabi Fund Sued by Madoff Trustee

The court-appointed trustee recovering money for investors cheated by Bernard Madoff sued Abu Dhabi's sovereign-wealth fund on Thursday seeking $300 million.

The lawsuit, filed by Madoff trustee Irving Picard in U.S. Bankruptcy Court in Manhattan, is seeking to recover transfers allegedly made to Abu Dhabi Investment Authority by Fairfield Sentry, a Fairfield Greenwich Group feeder fund.

GDF Suez Nears $4 Billion Deal With Chinese Sovereign Wealth Fund

PARIS — The French utility GDF Suez and China’s sovereign wealth fund said Wednesday that they were in exclusive talks to seal a $4 billion alliance that would help GDF finance its expansion in Asia and offer Beijing access to new energy resources.

GDF outlined the details of the partnership, its second large deal in a year, after the purchase of 70 percent of International Power, as it reported earnings for the first half of 2011 that beat forecasts.

Hedge Funds Standards Board looks to attract US and Asian managers

The UK-based Hedge Funds Standards Board (HFSB) is seeking to sign up more US and Asia-based managers to its best practice protocols.

The UK-based Hedge Funds Standards Board (HFSB), established in 2008 to develop and promote a set of voluntary hedge fund standards drawn up by a group of 14 predominantly UK-based hedge fund managers, is now aiming to attract managers from the US and Asia.

Chinese funds turn to foreign investors

Chinese fund companies are exploring opportunities to raise assets from qualified foreign institutional investors (QFII) as the retail fund market in China continues to stagnate. However, QFII assets have not been easy to come by, as many QFII managers are not in need of mainland-based investment advisers.

Assets under management in China's retail investment funds have fallen from a peak of Rmb3,000bn ($466bn) in 2007 to Rmb2,300bn as of June 30, according to Shanghai-based consulting firm Z-Ben Advisors.

Paulson control over hotels affirmed

By Henny Sender in Hong Kong

Paulson & Co, the US hedge fund, has won a US court battle with the Government of Singapore Investment Corp over control of a group of luxury hotels that brings it closer to making potential windfall profits.

The Singapore sovereign wealth fund has been trying to wrest control of the hotels – originally part of the holdings of troubled Morgan Stanley real estate funds – from a group led by affiliates of Paulson & Co since early this year.

Hard Assets The Place To Be Following U.S. Credit Downgrade

Hard assets are the likely benefactors of the U.S. sovereign debt downgrade on Friday. U.S. Treasury debt was sent to the minor leagues on Friday by Standard & Poor’s and is now rated AA+.

Joel Smolen, hedge fund manager at Axion Capital in San Rafael, says hard assets like gold, silver and equities of mining and metals companies in countries like Australia and Brazil are the places to be following the U.S. credit downgrade.

BlackRock: Sovereign Wealth Funds Haven't Lost Faith In Euro

SINGAPORE (Dow Jones)--Sovereign wealth funds and other big-money investors haven't lost faith in the euro and aren't showing signs of a dramatic move away from euro assets, a senior money manager at BlackRock Inc. (BLK) said Wednesday.

"Part of the reason the euro remains fairly entrenched is that there hasn't been a wholesale diversification away from the euro during this crisis," said Scott Thiel, chief investment officer of fixed income, said at a media briefing.

China’s sovereign-wealth fund faces old questions

By Li Qing

BEIJING ( Caixin Online ) — En route to another double-digit annual return, China’s sovereign-wealth fund China Investment Corp. (CIC) last year expanded long-term asset and direct investments while reducing the cash percentage of its global portfolio.

Also noted in CIC’s recently released financial report for 2010 — its third year in business — was a board of directors decision to set targets for cumulative, annual return rates. The board also decided to extend an investment assessment cycle to 10 years from five.

Nation feeds Gulf's appetite for ownership

IT WAS December last year, and the newly-minted Australia Gulf Council was ushering its first business mission through the Arab Gulf states, seeking key relationships with the ruling families and hoping to land trade and investment deals.

High-powered political cachet came from the former Labor prime minister Bob Hawke - a director on the council - and the steward of Australia's economic success for a decade, the former Liberal treasurer, Peter Costello. Senior executives on board had interests in banking, property, engineering, professional services, fast food, agribusiness and commodities. But the interest dominating their hosts' attention was clear - food security.

Doubts fuel investor guessing game

A high-stakes guessing game has broken out on Wall Street: what might investors have to sell if the US government loses its triple A credit rating for the first time?
Even with a tentative deal to raise the debt ceiling agreed late on Sunday, the Washington acrimony required to get there has left few analysts confident that US Congress can agree sufficient deficit reduction measures to placate Standard & Poor’s, the rating agency most negative in its outlook for US government finances.

Norway Oil Fund Invests In Further London Properties

Norway's sovereign wealth fund has taken another step towards its target of investing 5% of its assets in property by buying a stake in two central London addresses for GBP7 million.

Norway's Pension Fund Global, sometimes referred to as the oil fund, bought a 25% stake in 4 Conduit Street and 1 Maddox Street, alongside a 75% investment by the U.K. Crown Estate, with the total investment by both parties valued at GBP28 million, according to a statement from the Crown Estate Sunday.

CIC Risk Plays Increase Returns

BEIJING—China Investment Corp. said it earned an 11.7% return on its overseas portfolio last year, boosting its assets to $409.6 billion, as the Chinese sovereign-wealth fund deployed almost all of its capital and accelerated investments into higher-risk assets.

CIC's annual report, published Tuesday, highlighted the fund's increasingly aggressive allocation, with more of the portfolio in so-called alternative investments, which include private equity, real estate and infrastructure.

China may help fund Greek bond buybacks-finmin source

ATHENS, July 29 (Reuters) - China could provide loans to Greece to fund government bond buybacks in the secondary market to help cut the country's debt burden, a Greek finance ministry official said on Friday, but analysts were sceptical.

While talks with private creditors on a debt swap continue for a second day, analysts said more money to fund bond buybacks could help Greece shrink its debt mountain but questioned whether China would lend more cheaply than the euro zone.

China’s Sovereign Wealth Fund Earns 11.7% Return In 2010

China’s $400 billion sovereign wealth fund garnered 11.7% in 2010 on its overseas investments, which included a 21% allocation to alternative investments.

The Chinese Investment Corporation’s total assets reached $409.58 billion at the end of 2010, meaning it’s doubled since its inception in 2007 and even increased significantly from 2009, when it was worth $332.39 billion.

Soros Goes Private as Golden Era of Rock Star Traders Concludes

Money can be dull. There are only so many denominations, and only so many ways to make it. What’s interesting are the people who risk it, and over the past four decades no one has made more of a spectacle of risk than George Soros, whose Quantum fund famously bet $10 billion that the Bank of England would be forced to devalue the pound. Soros earned $1 billion on that trade and incalculable legend points.

Now, Soros is going to stop risking other people’s money. By the end of this year, his Soros Fund Management LLC will have no outside customers for the first time in 42 years. The shift concludes a process that began in 2000, when Soros stopped accepting new investments, Bloomberg Businessweek reports in its Aug. 1 issue.

Irish Sovereign Pension Fund Drops To EUR5.27B On Bailout Cost

DUBLIN (Dow Jones)--Ireland said Wednesday that assets in its National Pensions Reserve Fund, or NPRF--a mini sovereign wealth fund--have been reduced to EUR5.27 billion after the government was forced to sell down its market investments in its "discretionary fund" to help rescue the country's two major banks.

The NPRF said it now holds EUR15.5 billion worth of assets transferred into its so-called "directed fund" that has been earmarked to support Bank of Ireland PLC and Allied Irish Banks PLC, major lenders that required billions of euros of government aid amid the country's debt crisis. The directed fund assets include shares in the two banks and other rescue monies.

Singapore's GIC Investment Climate Still 'Challenging'

July 26 (Bloomberg) -- The Government of Singapore Investment Corp., the city's sovereign wealth fund, said the investment environment remains "challenging" as developed countries recover and emerging markets pose inflation risks.

GIC, manager of more than $100 billion of Singapore's reserves, said in its annual report today that it boosted investments in emerging economies to tap their potentially higher returns and improved macroeconomic fundamentals. It expanded the number of countries it invests in as well as its range of investment tools, it said.

Analysis: Bulging cash balances set up funds for deals

Global sovereign wealth funds are set to hasten investing the billions of dollars of cash holdings they have built up in a rebound from the 2008 financial crisis that has lifted their combined assets to a record.

But unlike three years ago, when they rode to the rescue of Wall Street titans such as Merrill Lynch and Citigroup, the investments this time around are seen mostly of a smaller nature and into the faster-growing sectors such as resources and infrastructure.

Berkshire Partners raises $4.5 billion in eighth fund

Boston-based investment firm Berkshire Partners LLC, which has dabbled occasionally in being a tech investor, has closed on its eighth private equity fund, logically called Berkshire Fund VIII, at a value of $4.5 billion.

According to a press release, Fund VIII’s capital came mainly from institutional investors in previous Berkshire funds, including endowments, foundations, pension funds, insurance companies and sovereign wealth funds.

India eyeing sovereign wealth fund, energy deals but RBI objects

NEW DELHI: India is considering setting up a sovereign wealth fund with more than $10 billion in assets to buy energy assets abroad to feed growing domestic demand, senior government officials told Reuters on Wednesday.

But the sources said the plan to create the country's first sovereign wealth fund (SWF) was still at an early stage amid concerns from the central bank about setting aside part of the country's foreign exchange reserves for the scheme.

S.Korea wealth fund aims to grow alternative investments

(Reuters) - South Korea's $46 billion sovereign wealth fund aims to expand alternative investments in areas like commodities and private equity, its new chief executive said on Tuesday, pledging to strengthen ties with foreign private equity and pension funds.

Korea Investment Corporation (KIC) CEO Choi Chong-suk said in his inauguration speech that the fund would continue to actively invest overseas and could join deals with other global sovereign wealth funds.

China's sovereign wealth fund names new CIO

Li Keping, vice-chairman of China's national pension fund, has been named executive director and chief investment officer of the country's $300 billion sovereign wealth fund which directs investments from China's huge stockpile of foreign exchange reserves.

Li replaces Gao Xiqing, who remains as president, a statement on the website of China Investment Corp (CIC) said. Sources told Reuters on June 17 of the impending personnel change.

ECB Is Heading for Some Hefty Icebergs

The Argentine government and the euro-zone policy makers have much in common: both have pistols at the ready, and aimed at unwanted messengers.

Argentina's government says the country's inflation rate is 9.7%. Most independent economists put the figure at 20%. So the government has filed criminal charges against one consulting firm, MyS for "publishing false information about inflation data," part of a coordinated campaign against independent economists.

China Wants to Buy Shares of Facebook

Last week, the story “leaked out” that a China sovereign wealth fund had expressed interest in purchasing a significant stake in Facebook. Lots of chatter then ensued about whether it was true, what it meant, and what “we” should do about it. (No, I don’t really know who “we” are.)

Allow me to be blunt on this issue: from a legal/investment perspective, I don’t care much if China wants to buy part of Facebook. Their motives for doing so are irrelevant as long as no laws are broken, and all the chatter about whether such a deal is a good idea is a negative influence on inward foreign investment in the U.S., and possibly corresponding deals in China by U.S. firms.

Kazakhs to Protect BTA Bank From Default, Wealth Fund Says

Kazakhstan’s sovereign wealth fund Samruk-Kazyna will inject cash into BTA Bank if the lender requires financing to avoid a second default, an official said.

“I don’t think BTA Bank will have to restructure debt or face bankruptcy, but we will provide financing to BTA if needed,” Aidan Karibzhanov, a deputy chief executive officer at Samruk-Kazyna, said in an interview in Astana. The fund hasn’t considered how it would inject money into the lender, he said.

STX Plans Bid With Middle East Sovereign Fund for $2.2 Billion Hynix Stake

STX Group, owner of the world’s third-largest marine-engine maker, said it may team up with a Middle Eastern sovereign wealth fund to bid for a stake in Hynix Semiconductor Inc. (000660)

STX is “highly likely” to submit a bid before tomorrow’s deadline set by shareholders including Korea Exchange Bank, the group said in an e-mailed statement yesterday. It wouldn’t need to borrow to pay for a stake of about 15 percent, according to Vice Chairman Lee Jong Chul, who didn’t identify STX’s potential Mideast partner.

Norway Oil Fund to Buy $1 Billion of Real Estate Assets in Paris From Axa

Norway’s sovereign wealth fund agreed to buy a 50 percent stake in seven properties in and around Paris for 702 million euros ($1 billion) from Axa SA, as it seeks to add at least $25 billion in real estate assets to boost returns.

The $570 billion Government Pension Fund Global will form a joint venture with Axa that will manage the properties, the Oslo-based investor said today in an e-mailed statement. The transaction is expected to be completed in the third quarter.

It’s None of Our Business Whether China Wants to Buy Shares of Facebook

Last week, the story “leaked out” that a China sovereign wealth fund had expressed interest in purchasing a significant stake in Facebook. Lots of chatter then ensued about whether it was true, what it meant, and what “we” should do about it. (No, I don’t really know who “we” are.)

Allow me to be blunt on this issue: from a legal/investment perspective, I don’t give a shit if China wants to buy part of Facebook. Their motives for doing so are irrelevant as long as no laws are broken, and all the chatter about whether such a deal is a good idea is a negative influence on inward foreign investment in the U.S., and possibly corresponding deals in China by U.S. firms.

Singapore, Blackstone Square Off Over Japan Property

TOKYO—Global Logistic Properties Ltd., majority owned by Singapore's sovereign-wealth fund, is in final negotiations to acquire a Japanese portfolio of real estate that could fetch up to ¥140 billion ($1.7 billion), making it the biggest property deal in Japan in two years, according to people familiar with the matter.

Private-equity firm Blackstone Group's real-estate arm is also in final talks and is in close competition with GLP in a bid to acquire the assets, according to the people. LaSalle Investment Management is selling a portfolio of more than 20 industrial properties in Japan used for distribution and warehouses by companies.

China state fund eyes Facebook stake

A state-owned fund in China is reportedly interested in buying a stake in social network Facebook, said a media report. A source told US business magazine Business Insider that China's sovereign wealth fund - the China Investment Corp - is hoping it could buy a stake in Facebook, large
enough "to matter", the Shanghai Daily reported.

Financial firm Citibank is reportedly trying to acquire as much as $1.2 billion worth of Facebook stock on behalf of two sovereign wealth funds - one from China and another from the Middle East, the daily said.

Alderman: SFO Is Not Looking At Banks In Sovereign Fund Probe

The U.K. Serious Fraud Office stands ready to assist the U.S. Securities and Exchange Commission with inquiries into whether financial firms violated foreign bribery laws in their dealings with sovereign-wealth funds.

But as of Friday, the office wasn’t looking into specific banks, SFO Director Richard Alderman said in a statement to Bloomberg. The statement runs counter to the news service’s report Wednesday that said the SFO was already helping U.S. authorities in the probe, citing an interview with Alderman himself.

U.K. Prosecutors to Assist U.S. on Fund Bribery Probes

U.K. prosecutors are assisting the U.S. Securities and Exchange Commission on inquiries involving financial institutions and whether bribes were paid in transactions with sovereign wealth funds.

The Serious Fraud Office, which prosecutes corruption and white collar crime in Britain, has been contacted by the U.S. regarding the probes, SFO Director Richard Alderman said in an interview yesterday.

“We’re talking to the Americans about various issues,” Alderman said, without specifically identifying the companies.

Where is Iraqi Kurdistan's Sovereign Wealth Fund?

After years of war, oppression, and uncertainty, Iraqi Kurds have reason for optimism. Under monarchy, republic, and the Baath dictatorship, the central government in Baghdad at best ignored and more often sought to undermine Iraqi Kurdistan's development. While rumors swirled for decades about oil deposits under Iraqi Kurdistan, Iraqi policy and international sanctions prevented its exploitation.

No longer: despite disputes with Baghdad, the Kurdistan Regional Government has sold international companies rights for exploitation and development of the region's petroleum resources. There are more than 40 different oil companies from more than a dozen countries operating in Iraqi Kurdistan. A few companies already produce oil. Many others are on the verge, having completed both exploration and the digging of test wells.

Goldman's Paperwork Flub

Goldman Sachs Group Inc. had no standard contracts in place to protect itself when it made $1.3 billion in options trades for Libya's sovereign-wealth fund controlled by Col. Moammar Gadhafi, according to people familiar with the situation.

While such contracts aren't required by law, they are routine operating procedure at banks and securities firms around the world when structuring derivatives transactions in opaque markets such as credit-default swaps, futures and options.

China sovereign fund tipped to buy stake in Sberbank-paper

(Reuters) - China Investment Corp , the country's $300 billion sovereign wealth fund, is tipped to buy a 5 percent stake in Sberbank , Russia's biggest lender, a Chinese newspaper reported, citing sources.

The 21st Century Business Herald reported that an unidentified investment bank that is arranging the partial privatisation of Sberbank has contacted CIC for a possible deal.

Norway Oil Fund Confident Euro Survives With Doubts Increasing Over Greece

The chief executive officer of Norway’s $570 billion sovereign wealth fund said the European Monetary Union, which consists of 17 countries sharing the euro currency, will survive amid increasing doubts that Greece will avoid becoming the first member to default on its debts.

“Some people are saying Europe is facing a choice, there is fiscal union or there is a break-up of the euro,” Yngve Slyngstad, the head of the Oslo-based fund, said yesterday in an interview. “I don’t think that’s necessarily true for the union. It may be true for one single member for the moment.”

Samruk-Kazyna plans to acquire up to 25% in Alliance Bank, BTA Bank, Narodny Bank and Kazkommertsbank, advisor to Kazakhstan prime minister says

Samruk-Kazyna, a Kazakhstan state-owned fund, is planning to acquire up to 25% of the ordinary voting shares in the four largest banks in Kazakhstan, said Alexander Mirtchev, one of the directors of Kazyna Fund and advisor to the prime minister of Kazakhstan.

Central banks buy up Australian dollar bonds

ASIAN and South American central banks are becoming major buyers of Australian government bonds in a move to diversify their US investments, which is driving demand for the Australian dollar.

Despite reverses in the Aussie yesterday amid volatility in foreign exchange markets due to Greek debt fears, analysts said fundamentals backed the dollar.

Qatar's sovereign wealth fund is looking recruit 100 roles globally

With the fee pot shrinking, many investment bankers in London will have come to the conclusion that moving to the Middle East isn't a great career move. However, if you still have aspirations to move to the region, you might want to look towards the Qatar Investment Authority (QIA).

According to various financial headhunters in the Gulf, the QIA has embarked on a relatively aggressive recruitment spree for 2011, and is looking to haul in around 100 people this year.

Qatar in talks to buy stake in Santander's UK arm -paper

(Reuters) - Qatar is in talks about buying a stake in the British arm of Spanish bank Santander prior to or at the time of a planned flotation of the unit, reported the Sunday Times newspaper.

Santander is in detailed discussions with Qatar Holding, part of the Gulf state's sovereign wealth fund, among others, about the possibility of such funds becoming cornerstone investors in Santander UK, said the report.

Stanford Receiver Sues Libyan Fund for $55 Million Withdrawn, Lawyer Says

R. Allen Stanford’s court-appointed receiver sued the Libyan government wealth fund for $55 million he claims the state withdrew from Stanford’s alleged Ponzi scheme before it collapsed in early 2009, according to the receiver’s lawyer.

Ralph S. Janvey, Stanford’s receiver, also won a temporary freeze on some Libyan government bank accounts in the U.S. until a federal judge can determine if the money should be distributed to investors allegedly swindled of more than $7 billion, said Janvey’s lead attorney, Kevin M. Sadler.

China sovereign wealth fund to name new CIO-source

HONG KONG/BEIJING, June 17 (Reuters) - A top executive of China's national pension fund is tipped to become chief investment officer of the country's $300 billion sovereign wealth fund, a source said on Friday, part of intense political jockeying ahead of a sweeping reshuffle of the Communist Party's top leadership.

Li Keping, 55 , vice chairman of the $130 billion National Social Security Fund, is likely to succeed Gao Xiqing as chief investment officer of China Investment Corp (CIC) , the source at CIC told Reuters, requesting anonymity.

Norway $570 Billion Oil Fund May Target Private Equity as Adviser Switched

Norway’s $570 billion oil fund may get more leeway to expand into new asset classes such as roads, gas pipelines and unlisted shares as the government switches its top adviser for setting the investor’s guidelines.

Former central bank Governor Svein Gjedrem, 61, this week started as secretary general at the Finance Ministry and chief adviser on investment rules for the oil fund, succeeding 64- year-old Tore Eriksen. The switch allows Gjedrem to revive proposals blocked by the ministry in April to expand the fund’s investments, according to Knut Anton Mork, chief economist at Svenska Handelsbanken AB in Oslo.

BlackRock Hires Keeley to Oversee Sovereign Fund Investors

BlackRock Inc., the world’s biggest money manager, hired Terrence Keeley to head a unit overseeing relations with sovereign funds and central banks as it seeks to double assets with such clients.

Keeley will also help expand the BlackRock Investment Institute, which started earlier this year to provide clients with investment analysis, executives at the New York-based company said today in an interview. Keeley will report to Robert Fairbairn, the head of BlackRock’s client group, and Lee Kempler, executive director of the investment institute.

PPAF eyes Gulf help to alleviate poverty

DUBAI — Pakistan Poverty Alleviation Fund (PPAF) seeks to attract Gulf corporate sector and sovereign wealth funds to launch more public-private projects to eradicate poverty in the country, its top official has said.

“We are planning to hold road shows and organise meetings with business giants of the Gulf in order to attract them for investing in the poor communities of Pakistan,” Qazi Azmat Isa, Chief Executive Officer, Pakistan Poverty Alleviation Fund, told Khaleej Times in an exclusive interview.

Norway's sovereign wealth fund takes No.1 position

Norway's sovereign wealth fund, the Government Pension Fund Global, reached nearly 3,100 billion Norwegian kroner (about 574 billion U.S. dollars), making it the world's biggest such fund, Norwegian-language newspaper DN reported on Friday.

It was the first time the fund had been in top spot since it started 15 years ago, the newspaper said, quoting analysis by the U.S. Monitor Group.

SEC Looks At Goldman, Others’ Dealing With Libyan Sovereign Fund

U.S. securities regulators are investigating whether Goldman Sachs Group Inc. and other financial firms violated foreign bribery laws when dealing with the Libyan sovereign-wealth fund, the Wall Street Journal reported, citing sources.

Enforcement lawyers at the Securities and Exchange Commission are reviewing documents that detail the companies’ relationships with the Libyan Investment Authority, which is controlled by Moammar Gadhafi, sources told the Journal. Among other things, the SEC is specifically interested in a $50 million fee Goldman initially agreed to pay as part of a proposal set up to help the LIA recoup losses.

Rio Tinto Says $10 Billion Guinea Ore Mine Attracts Sovereign Wealth Funds

Rio Tinto Group, the world’s second- biggest mining company, said its Simandou iron-ore mine project in Guinea has attracted interest from sovereign wealth funds.

The development, a venture with Aluminum Corp. of China Ltd., has attracted “strong interest from other sovereign wealth funds and international financiers,” Alan Davies, president of international operations, said in a slide presentation posted on London-based Rio’s website today. The company has spent $1.5 billion at the West African site to-date and production is scheduled to start in 2015, it said.

Joseph Stiglitz on the I.M.F.'s Future

What's the Latest Development?

After being arrested in New York for the alleged sexual assault of a hotel maid, the head of the I.M.F., French national Dominique Strauss-Khan, quickly resigned his post. Currently, the world's most powerful sovereign wealth fund is looking for a replacement. Nobel economics laureate Joseph Stiglitz thinks the current front runner, Christine Lagarde, France's current economic minister, is a good match for the job: "She has been an outspoken advocate of financial-sector reforms, and has won the respect of all of those with whom she has worked."

RBS Courts Middle East Funds Before Government Sale, Times Says

June 5 (Bloomberg) -- Royal Bank of Scotland Group Plc's Chief Executive Officer Stephen Hester is looking to attract sovereign wealth funds in the Middle East ahead of the government's sale of the U.K. bank, the Sunday Times reported.

Hester met with investment funds in Abu Dhabi, Dubai, Qatar and Kuwait during a tour of the Gulf last week, according to the newspaper. The bank's CEO wants the government to sell a part of its shareholding worth between 5 billion pounds ($8.2 billion) and 10 billion pounds early next year, the newspaper said, citing people close to the lender it didn't identify.

Sovereign Wealth Funds: political they are, political they stay.

Part 1 covered the origins of the Sovereign Wealth Fund GAPP (Generally Accepted Principles and Practice, also known as “the Santiago Principles”) which was issued in 2009. The opening blog on this theme looked at the pressures on SWFs to present themselves as pure investment vehicles driven by the usual risk returns investment criteria. However, part 1 ended by reaffirming the fact that SWFs are state-owned entities with a mission that can extend well beyond simply generating decent returns.

The Crime of the Century: The theft of the Libyan sovereign funds

The objective of the war in Libya is not just oil, whose reserves (estimated at 60 billion barrels) are the most important in Africa and whose extraction costs are among the lowest in the world. Not so little also, natural gas, whose reserves are estimated at about 1.5 trillion cubic metres. In the crosshairs of "volunteers" of operation "unified protector" are also the sovereign funds, the wealth, the Libyan capital that the state invested abroad.

Goldman Sachs Lost 98% of Libya’s $1.3B Sovereign Wealth Fund Investment

As civil war roars on in Libya and Colonel Muammar Gadhafi vows to remain in power, reports surfaced that the Northern African country entrusted $1.3 billion through its sovereign wealth fund to Goldman Sachs in 2007, of which the investment bank lost approximately 98%, sparking the ire of Libyan officials. The fascinating drama includes Goldman offering Libya preferred equity and debt which could’ve made it one of the investment bank’s largest shareholders during the onset of the crisis, as well as intimidation and violent threats by Libyan officials.

Euro Weakens Amid Sovereign Debt Concerns; Kiwi Climbs to Record

The euro fell against the dollar amid concern European governments will struggle to resolve the sovereign debt crisis, damping demand for the region's assets.

The single currency weakened versus 14 of its 16 major counterparts after Greek Prime Minister George Papandreou said he'll press ahead with new austerity measures even as he failed to win backing from opposition parties. New Zealand's dollar climbed to the strongest since exchange-rate controls ended in 1985 after a report showed the nation's trade surplus widened by almost twice economists' estimates to a record in April.

Shorten dismisses sovereign funds as 'elitist'

Assistant Treasurer Bill Shorten does not believe tying up money from the government's proposed mining tax in a sovereign wealth fund is a sensible idea.

The Organisation for Economic Cooperation and Development has previously recommended that Australia should not spend the proceeds of the planned minerals resource rent tax (MRRT), instead placing it in a sovereign wealth fund.

Libya sovereign fund suffers big losses

Libya lost billions of dollars on sophisticated financial products sold to Muammer Gaddafi’s sovereign wealth fund by some of the world’s leading financial institutions, according to a confidential Libyan government document.

Banks and hedge funds led by France’s Société Générale are named in about $5bn (£3bn) of deals involving the oil-rich nation, some of which had resulted in heavy losses by the middle of last year.

India plans sovereign wealth fund for energy assets abroad

Planning Commission is now setting its eyes on a sovereign fund to acquire energy assets around the globe. The government is planning to set aside $10 billion for the fund. Moreover, 2-5 per cent of India's forex reserves may be set aside for the fund.

“We have been asked to look into the feasibility of setting up such a fund for energy assets. Given the present resources situation a fund like this is necessary. I believe a paper has been prepared and will be examined by the group of ministers,” said Montek Singh Ahluwalia, deputy chairman of Planning Commission.

Strong demand for EU bail-out bond sale

The European Union enjoyed strong demand for its third bond to raise money for the rescues of Portugal and Ireland, in a sign of investors’ confidence that the eurozone can survive the debt crisis.

Despite rising concern over contagion, and the single currency coming under pressure this week, banks, pension funds, insurers and other investors from Europe and Asia, including some big sovereign wealth funds, bought the debt.

Sovereign wealth funds just keep getting bigger

The aggregate assets of the world’s sovereign wealth funds rose 11% through 2010 to $3.8 trillion according to a report by Prequin. Whether grand totals like that make much sense, of course, is another matter. The funds are not managed as an aggregated total and each pursues its own strategy. Management risk profiles and investment strategies vary hugely.

However, there appear to be clear signs that having committed a fair number of high profile blunders over the last few years in their search for higher yield, funds have, in general, become better at investing. According to Sam Meakin, managing editor of the 2011 Prequin Sovereign Wealth Fund Review, that 11% increase in AUM through 2010 was largely down to returns on investment

Middle East SWFs to hike risk

Managers of sovereign wealth funds across the Middle East hope to ratchet up their exposure to risky investments as well as the length of their investment commitments from next year, new research suggests.

The year 2012 will mark a turning point in the direction of a number of these rich state-controlled funds, many of which still hesitate to take bold bets in the wake of the financial crisis, according to Invesco Asset Management’s Middle East study for 2011.

China wealth fund sees no need for new forex fund

BEIJING (MarketWatch) -- An executive with China Investment Corp., the country's sovereign wealth fund, said that he doesn't see a need for the country to set up any new foreign exchange-reserve investment funds, Caixin Media reported Friday on its website.

Jin Liqun, chairman of CIC's board of supervisors, said in a speech in Washington D.C that CIC has covering most investment sectors and has done a good job with its investments, Caixin reported.

Exclusive: Ministers Lure Sovereign Wealth Funds Chief

The Government's trade promotion body has hired a senior executive from Ernst & Young to spearhead an effort to forge relations with sovereign wealth funds and other high-value inward investors, I have learned.

Michael Boyd, who held several roles at the accounting firm, has been appointed as the head of a new strategic relations unit within UK Trade & Investment (UKTI). Boyd's appointment is expected to be announced within days and could come as soon as tomorrow.

House approves sovereign wealth fund creation

The House of Representatives yesterday passed the sovereign wealth fund (SWF) bill, a week after the senate delivered the legislation proposed by the federal government to hold billions of oil revenue differentials between budget benchmarks and actual market prices.

Seeking to avoid a harmonization procedure, the house approved the senate's version of the law and passed the Nigeria Sovereign Investment Authority bill, with an initial investment minimum of the naira equivalence of $1 billion.

Canadian wealth fund and Henderson buy Leadenhall Triangle

A Canadian sovereign wealth fund advised by Henderson Global Investors has bought the Leadenhall Triangle scheme in the City for £175m.

Henderson went under offer on Friday to buy five buildings on an island site which are currently in administration after a fierce bidding process.The asset will be owned one third by Henderson’s Central London Offices Fund I, one third by Henderson’s Central London Offices Fund II and one third by the Canadian fund.

Securing global economic security

Inflation is a significant factor of global economic security and has the innate capacity to upend carefully laid plans

Norway’s Wealth Fund Rose $11 Billion in Quarter

Norway’s sovereign wealth fund returned 59 billion kroner ($11 billion) in the first three months of 2011, the smallest gain since last year’s second quarter, as European bonds slumped.

The $573 billion Government Pension Fund Global returned 2.1 percent, as measured by a basket of currencies, the Oslo- based investor said today. The equity portfolio returned 2.9 percent and fixed-income investments climbed 0.7 percent, led by gains in covered bonds. European bonds fell 1.1 percent.

Sovereign wealth funds on the defensive

They manage billions of dollars of public money, yet there is little information about how some sovereign wealth funds (SWF) invest.

This week, the largest sovereign wealth funds in the world meet in Beijing, at a time when there are increasing calls for more transparency.

CIC Chairman: Support Greater Sovereign Wealth Fund Transparency, With Caveats

BEIJING (Dow Jones)--The chairman of Chinese sovereign wealth fund China Investment Corp. said Wednesday he supports greater transparency from sovereign wealth funds worldwide, with some caveats.

Lou Jiwei was speaking in Beijing at the International Forum of Sovereign Wealth Funds, a meeting hosted by the Chinese fund. A summary of his remarks was released by CIC.

Singapore wealth fund sees major crisis if US loses AAA status

May 9 (Reuters) - The world could face another major financial and economic crisis if the United States loses its AAA sovereign rating, a top official at Singapore sovereign wealth fund GIC said on Monday.

Separately, Singapore Prime Minister Lee Hsien Loong said he did not expect U.S. President Barack Obama to tackle the country's huge deficit until after presidential elections in 2012, in a sign of growing global unease about the U.S. economy.

Greens want inquiry into wealth fund

The Australian Greens want the Productivity Commission to investigate whether Australia should establish a sovereign wealth fund to save money for tough times ahead.

Leader Bob Brown will move a motion in the Senate this week calling on the government to refer the issue to its independent advisory body.

Now more than ever before do we need a sovereign wealth fund

There's an old joke about populist television investment programs.

Essentially, there are only four stories that are repeated ad nauseam. I won't destroy the mystery and list them in order but if you watch them often enough you'll get the drift.

Sovereign wealth funds 'good tool for Africa'

SA does not need a sovereign wealth fund, but many other African countries could use the financial instrument well as a means to bring greater transparency to their public finances, according to Mthuli Ncube, chief economist at the African Development Bank.

Addressing a press briefing on Thursday during the World Economic Forum on Africa, Ncube said: "What happens to the revenues received from oil and gas? That is where government should (manage the wealth generated) and that is where an instrument like this would allow greater transparency and accountability in revenues."

Australian Wealth-Fund Push Hits Roadblock

SYDNEY—In a blow to those calling for an Australian sovereign-wealth fund to lock away mining-boom proceeds, opposition Treasurer Joe Hockey, one of the country's most influential politicians, said Thursday that their case is premature and Australia is already well-served by its pension-savings pool.

Mr. Hockey's remarks followed a rush of calls in recent weeks from lawmakers, policy makers and others for the government to follow the examples of countries such as oil-rich Norway and invest some of the proceeds of the current boom. The backers include David Murray, chairman of the Future Fund, which holds about 70 billion Australian dollars (US$75 billion) for public-sector pensions; Warwick McKibbin, a member of the Reserve Bank of Australia board; leading bank executives; and bond-fund titan Pacific Investment Management Co. The RBA itself has signaled the need for discussion.

Sovereign Wealth Funds Line Up for Glencore Shares

HONG KONG—Sovereign wealth funds from Singapore and the Middle East are in advanced talks to acquire shares in Swiss commodities giant Glencore International AG's dual listing on the London and Hong Kong stock exchanges, according to people familiar with the situation.

Glencore is looking to raise as much as US$12.1 billion in its initial public offering and has been searching for large investors to turbo-charge its share sale. These so-called cornerstone investors are swapping certainty that Glencore will allocate them shares during the offering in exchange for not selling the shares for at least six months.

Another cop-out in Canberra

This week the International Monetary Fund warned against squandering the riches of the mining boom. Alongside the now lengthy retinue of business leaders and others, the IMF called for Australia to set up a sovereign wealth fund.

There was nary a smidgen of interest from the Office of the Prime Minister, though. Our intrepid Canberra correspondent, Clancy Yeates, put in the call yesterday.

Greens agree with IMF on wealth fund

The Australian Greens will continue to pursue the establishment of a sovereign wealth fund, which again has been suggested by the International Monetary Fund (IMF).

In its Regional Economics Outlook for Asia and the Pacific released on Thursday, the IMF again urged the federal government to consider saving some of the revenue generated by higher commodity prices.

CIBC eyes high-yield bonds, sovereign wealth funds

Canadian Imperial Bank of Commerce is adding to its capital markets teams in New York and Toronto, with hires from competitors including Bank of America Merrill Lynch.

The hires reflect a focus on high-yield bonds and expanding business with central banks and sovereign wealth funds.

Glencore float to have backing from sovereign wealth funds

Glencore has lined up a number of Asian sovereign wealth funds as "cornerstone investors" for its flotation on the London and Hong Kong stock exchanges next month, with the commodities company looking for a market price tag of up to $73bn (£44bn).

City speculation suggested that China Investment Corporation (CIC), Temasek of Singapore, and Korea Investment Corporation have agreed to underpin the float by buying large tranches of shares.

Petrobras Drop on Fuel Prices Sinks Brazil’s c

Brazil’s refusal to allow higher gasoline prices is cutting into returns of its sovereign wealth fund, whose main holdings are shares of state-controlled Petroleo Brasileiro SA. (PETR4)

The fund, set up in December 2008 with 14.3 billion reais ($9.1 billion) in capital, lost 7.4 percent from the end of March through April 20, marking the biggest monthly decline since October, data from Brazil’s regulator show. Petrobras voting shares, which account for about 57 percent of the fund’s assets, fell 9.6 percent in the period, while preferred shares that make up 23 percent of total assets dropped 7.8 percent.

Resource wealth must be saved for the national good

The 'rocks' in the ground belong to all Australians, writes Paul Bloxham.

Australia should have a mining tax and a sovereign wealth fund. Both of these would allow better management of our national wealth.

Our pot of gold for when the mines run dry

Clancy Yeates looks at how a sovereign wealth fund might take shape.

Norway's got one, so does Chile. For decades, the oil-rich Gulf states have also squirrelled away their export revenue into a public savings pool, known as a sovereign wealth fund.

India needs to set up sovereign wealth fund: Kaushik Basu

India ought to aim at setting up a sovereign wealth fund which is financially viable and have a broader objective of furthering the country s role as a global player.There are more than 50 sovereign wealth funds worldwide managing assets worth nearly three trillion dollars. Most of these are run by countries with huge trade surpluses and are funded mostly by oil and gas exports according to Kaushik Basu Chief Economic Advisor to India Finance Ministry.

India Inc backs setting up sovereign wealth fund

India Inc has favoured the country setting up a sovereign wealth fund to service the needs of fast growing economy, especially the infrastructure sector, says a survey.

A majority of the respondents surveyed pegged the size of sovereign wealth fund (SWF) at USD 50 billion, the survey by industry body Assocham said, adding that the fund structure should be based on a public-private-partnership model.

Australia considers tax breaks for sovereign wealth funds

The Australian government on Wednesday said it was considering tax exemptions for sovereign wealth funds that have passive investments in Australian assets.

Commenting on a paper discussing the options on tax, Assistant Treasurer Bill Shorten said funds invested in Australia by foreign government investment bodies amounted to around A$65 billion.

CIC Eyes Europe Opportunities

China Investment Corp. is looking for investment opportunities in Europe, though the head of China's $300 billion sovereign-wealth fund is cautious about the continent's economy.

Economic growth in European countries is slowing because of the euro-zone sovereign debt crisis, said CIC Chairman Lou Jiwei on Saturday, noting exports to emerging markets play a key role in driving Europe's economy.

China wealth fund denies reports of Spanish bank investment

China Investment Corp, the country's sovereign wealth fund, on Thursday denied reports that it was studying a $9 billion investment in Spanish banks.

"The reports are groundless and are not in line with the truth," a CIC official, speaking on the condition of anonymity, told Reuters.

China sovereign wealth fund may invest $13.4 bn in Spain

Chinese investors showed a willingness Wednesday to invest billions of euros in Spain, with the China Investment Corporation - c - saying it may inject up to 9.3 billion euros ($13.4 billion) into the Spanish financial system.

The potential investments were discussed at a meeting in Beijing of Spanish Prime Minister Jose Luis Rodriguez Zapatero with China's largest financial institutions, sources in Spain's government said.

Timur Kulibayev to head $80bn Kazakh Sovereign wealth fund

Timur Kulibayev, the billionaire friend of Prince Andrew, has been made chairman of Kazakhstan's $80bn (£49.2bn) sovereign wealth fund, cementing his position as the most important business figure in the resource-rich former Soviet republic.

The Samruk-Kazyna fund, holds a 14.99pc stake in Kazakhmys, and 11.65pc of ENRC, two of the FTSE 100's leading mining companies.

Share the wealth while it lasts - and pave the way for a bright future

Malcolm Turnbull's flirtation with the idea of a sovereign wealth fund might mean the current commodity boom - the most sustained of this magnitude in our history - isn't the fiscal equivalent of the one that got away.

Three key points have been absent from our embryonic discussion. Addressing these could mean the difference between a short and flashy fling with our commodity wealth or a prosperous, healthy and sustainable long-term relationship.

A Case for an Aussie Sovereign-Wealth Fund

Australia's policy makers are faced with the enviable conundrum of what to do with the wealth generated from the nation's mining boom at a time when other industrialized nations are still tightening their belts in response to the global financial crisis. A growing number of economists argue that with the country heading for a budget surplus, the time is right to create a sovsereign-wealth fund, or SWF.

Turnbull first and clearest on the need for a sovereign wealth fund

Turnbull certainly gets around. He's the opposition's telecommunications spokesman. But he also turned the wick down on the ASX and Singapore Exchange's chances of getting in bed together halfway through last month when he said the deal was hard to love.

The opposition was flying under the radar on the issue when Turnbull said the deal would be easier to embrace if it were structured more as ''an equal partnership''.

Kuwait sovereign wealth fund to invest in real estate

Kuwait Investment Authority (KIA), the country's sovereign wealth fund, has confirmed it is to launch a real estate portfolio worth US$3.6 billion to invest in the local market.

‘The real estate portfolio aims to achieve good returns on mid term and long term and will benefit from the steep plunge in real estate,’ KIA said in a statement.

Park Square closes $1.2 bln loan fund

LONDON, April 5 (Reuters) - Credit fund manager Park Square Capital has closed a new 850 million euro ($1.2 billion) fund, Park Square II, targeted at mezzanine loan investments, having kicked off the fund at the height of the credit crisis.

The new fund has been raised from investors in Europe, Asia and North America, with pension funds, insurance companies and sovereign wealth funds making up 80 percent of the capital commitments, Park Square said.

Sovereign wealth funds, among others want a share in expected U.S. rebound

Tie-ups between real estate investment managers and foreign investors are expected to grow rapidly this year, as investors around the world seek to get in on an anticipated U.S. commercial real estate market recovery.

Foreign investment in U.S. real estate more than doubled last year, to $13.37 billion (from $5.6 billion in 2009), according to a real estate investment firm Jones Lang LaSalle. And this trend is expected to continue through 2011 at least.

Italy Plans State Investment Fund

CERNOBBIO, Italy—The Italian government is moving ahead with plans to set up a state investment fund to bolster Italy's industrial fabric and stave off potential takeovers by foreign firms.

Speaking on the sidelines of a weekend conference held north of Milan, Italian Economy Minister Giulio Tremonti fondly recalled the country's postwar IRI holding company, noting that Italian companies tend to be small and that the global economy increasingly revolves around large enterprises. "At this moment it would be preferable to have an IRI," Mr. Tremonti said.

‘2011 budget to strengthen Sovereign Wealth Fund’

The Assistant Director, Research, Central Bank of Nigeria, (CBN), Adebayo Idowu has said the 2011 budget will foster growth, create more jobs and also consolidate the the Sovereign Wealth Fund (SWF),

Idowu listed the assumptions to include crude oil production of 2.30mb/d; crude oil benchmark price of $75/barrel; Joint Venture cash calls of $5.4 billion; average exchange rate of N150 to $1.00 and target of Gross Domestic Product (GDP) growth rate of 7 per cent and inflation rate of 10 per cent will help put the SWF in good standing. The oil price now stands at $116.9 per barrel as at March 28 and the difference of $51.9 per barrel will be credited to the SWF.

Singapore Wealth Fund Opens Mumbai Office

Singapore --Government Of Singapore Investment Corp., or GIC, has opened an office in Mumbai to grow its business in the rapidly expanding south Asian nation, the sovereign wealth fund said in a statement.

Mumbai, where the manager of the island nation's foreign exchange reserves will place more than 10 investment and asset management officials, is the eighth overseas office of GIC, it said in a statement.