Saudi Arabia's Public Investment Fund (PIF) has increased its holding of US equities from $30.94 billion in Q4 2022 to $35.52 billion in Q1 2023, as stated in the latest 13F filing for the three months ending March 31, 2023, published in a Securities and Exchange Commission filing.
- During the quarter, the Kingdom's sovereign wealth fund made strategic investments in two new companies, Bloom Energy and PDD Holding. It chose to divest from its investments in Pinduoduo, Carnival NOTE, and Farfetch and decreased its ownership in Visa and Ballard Power Systems, while increasing its stake in Electronic Arts, Air Products, Paypal, and CLTD.
Why it matters
Established in 1971, the Public Investment Fund (PIF) of Saudi Arabia has experienced remarkable growth in recent years. Under the guidance of Saudi Crown Prince Mohammed bin Salman, the PIF has undergone rapid development to align with the Kingdom's Vision 2030. The primary objective is to enhance and diversify the government's revenue streams, reducing the nation's reliance on oil income. Recently, the fund's total assets reached an impressive $727 billion, bolstered by the transfer of a portion of Aramco's ownership. Consequently, the PIF has emerged as the third-largest sovereign wealth fund in the Arab world.