Baku, Azerbaijan, Aug. 14
By Ilkin Shafiyev – Trend:
The State Oil Fund of Azerbaijan (SOFAZ) is ready to make changes related to Turkish and Russian assets in its investment portfolio, SOFAZ said in a message Aug. 14.
“As of the end of the second quarter this year, about 0.9 percent in the SOFAZ investment portfolio accounts for investments in Turkish government bonds and about 0.9 percent accounts for investments in Russian assets (shares of VTB Bank, as well as the office and shopping center in Moscow), which coincides with the current market situation, the current investment strategy of SOFAZ and the corresponding medium- and long-term realistic income expectations,” said the message.
“Considering the geopolitical risks that have recently been observed in these countries, the current state of the investment portfolio, market conditions and expectations are being seriously analyzed, so that, if necessary, quick tactical steps can be taken to change the investment portfolio.”
SOFAZ was established in 1999 with assets of $271 million.
Based on SOFAZ's regulations, its funds may be used for construction and reconstruction of strategically important infrastructure facilities, as well as solving important national problems.
The main goals of the State Oil Fund include: accumulation of resources and placement of the fund's assets abroad in order to minimize the negative effect on the economy, the prevention of "Dutch disease" to some extent, promotion of resource accumulation for future generations and support of current social and economic processes in Azerbaijan.
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