The sovereign wealth fund of Qatar has opened an office in New York to help deploy $35 billion that it has committed to investing in the US in the next five years.
The Qatar Investment Authority (QIA) says the move illustrates its faith in the US economy and its desire to diversify its investment portfolio.
“With boots on the ground, our presence in New York will anchor our interest in the region,” says Abdulla Al-Thani, chief executive of the fund.
The QIA has an estimated $256 billion under management, according to analysis from a US-based research firm, the Sovereign Wealth Fund Institute. The QIA does not reveal details of its asset base. The fund is known to own stakes in Barclays, Credit Suisse and Volkswagen, among others, as well as a property portfolio including high-profile assets in London and Paris.
The fund’s commitment to the US comes at a time when other sovereign wealth funds in the Gulf region are thought to be scaling back their investments. A recent survey of sovereign wealth fund employees found that many fear governments in the Gulf will withdraw money from them if the oil price stays at a low level.
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