SOVEREIGN wealth funds (SWFs) had a mixed financial year in 2023 (FY23) which saw the investment climate strained by geopolitical tensions, elevated inflation and higher interest rates, but also major equity market benchmarks at fresh highs.

       The behemoth of the industry, Norges Bank Investment Management (NBIM), with some US$1.37 trillion in assets under management (AUM) and with some 70% of that in equity, posted US$213bil profit for the year driven by its investments in big tech companies which gained on the artificial intelligence (AI) thematic.