BAKU, Azerbaijan, Dec.24
By Leman Zeynalova – Trend:
Azerbaijan’s State Oil Fund (SOFAZ) will continue to place its funds within the allowed investment assets in order to maximize profitability, the Fund told Trend.
“SOFAZ is a global investor and its investment portfolio is highly diversified in terms of currency, as well as in terms of asset classes, sectors and countries. SOFAZ continuously analyses its investment strategy taking into account the profitability profile and investment risks to further optimize its investment portfolio and increase the long-term profitability. SOFAZ will continue placing its funds within the allowed investment assets in order to maximize profitability at an appropriate level of risk, taking into account the analysis of the market conjuncture and depth, expectations regarding the country's economy, as well as in accordance with the main regulations related to the Fund’s the investment activities.
“SOFAZ’s investment activity is regulated by two main normative acts: Rules on the keeping, placement and management of the foreign currency-denominated assets of the State Oil Fund of the Republic of Azerbaijan and Investment Policy. SOFAZ investment strategy, as well as investment directions are established by the Investment Rules"approved by the Decree of the President of the Republic of Azerbaijan No. 511 dated June 19, 2001, while restrictions and limits in these areas are set by the Investment Policy approved by the decree of the President of the Republic of Azerbaijan on an annual basis.
According to the 2020 Investment Policy, SOFAZ’s assets are distributed as follows: 55 percent accounts for bonds, up to 25 percent accounts for assets, while 10 percent accounts for real estate and gold each,” said SOFAZ.
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