The New Frontiers of Sovereign Investment

Sovereign wealth funds (SWFs) can be exceptionally effective tools for national resources revenue management in the current global economy. As a response to the challenges posed by financial shocks, SWFs are remarkably adaptable and have been successfully employed in countries around the world, with the largest funds managing trillions of dollars in assets. The number of SWFs continues to grow, and with the significant differences in their size, scope, and objectives, it can be difficult to determine what constitutes a SWF, let alone to compare two or more that may differ in important ways. A practical look at how these funds work—and how they should work—is sorely needed.

By combining the insights and experience of academic economists and practitioners from several funds, The New Frontiers of Sovereign Investment surveys a diverse financial landscape to establish a unifying definition of SWFs and consider the differences between nascent and long-established SWFs; between the largest funds and the smallest; and between quasi-private and fully transparent public funds. Featuring contributions from such newly minted funds as Alberta's AIMCo and the Nigerian Sovereign Investment Authority, as well as analysis by scholars at the forefront of sovereign investment, this volume provides timely and much-needed information on these rapidly evolving institutions.