Sovereign Wealth Fund Investment in Economic Transformation: Toward an Institutional Framework
World Economics Journal, Vol. 18 • No. 1 • January–March 2017
22 Pages Posted: 4 Jun 2017
Date Written: May 26, 2017
The prospect of prolonged lower hydrocarbon and commodity prices has forced many countries to reconsider both fiscal policy and sovereign wealth fund asset allocation to address possible liquidity needs. In order to analyze the diversity and effectiveness of public investment vehicles it is necessary to recognize that a sovereign wealth fund is a genre of state investment. As a type of state investor sovereign wealth funds sit within an institutional continuum that includes many other bodies, such as national development banks. Well-functioning operating and governance models have evolved among large-scale private equity investors and components of these are suited to government application.
Keywords: Sovereign Wealth Funds(SWFs), Sovereign Development Funds (SDFs), Strategic Investment Funds (SIFs), Public Finance, Institutional Development, Fiscal Management, Macroeconomics
JEL Classification: F63, G15, G18, N20, O11
Suggested Citation: Suggested Citation