Building Bridges: Sovereign Wealth Fund Partnerships in Real Estate and Infrastructure Development Projects

March 17, 2014 by Loch Adamson

  • Print
  • Please login
MANY SOVEREIGN WEALTH FUNDS are changing the way they invest. Instead of simply awarding mandates or committing to commingled investment vehicles, they’re creating strategic partnerships with commercial partners. Some firms with whom sovereign funds invest have expressed concern that this trend may hurt their business. The fear: Sovereign clients will use a relationship that starts as an alliance to gain more control over their assets and improve the skills of their staff without paying full fees. The partnership may end with sovereign funds insourcing management of nearly all of their assets, leaving fewer opportunities for external managers. Although there may be some truth to this scenario, sovereign wealth funds have much broader reasons for establishing partnerships. Such relationships appear to be less about trying to put asset managers out of a job than becoming more knowledgeable and effective investors. The goal is to deliver better returns — macroeconomic, social or…

Sign-up for your free account to read this article

Get Started

Already have an account?
 

Log In Here

Updated Fund Profiles

Our market-leading fund profile library provides unrivalled analysis of more than 90 government and sovereign funds.

Register to read fund profiles

Recent SWF Investments

Search the database of direct investments and mandates by fund, industry and target market to identify past deals that match your requirements. Access over $1 trillion worth of transactions dating back to the 1960s.

Register to explore our data

Latest SWF News

Sovereign Wealth Center makes staying abreast of the most recent government and sovereign fund events easy. Our team undertakes a thorough review of global news feeds every morning and distills salient points.

Register for the latest SWF news
Join the discussion:

To be able to print this content,
you must be a subscriber

For details on your subscription options,
please contact: