Gulf sovereign wealth funds expand global influence with $137B in investments

Gulf sovereign wealth funds (SWFs) are cementing their position as key players in the global financial landscape, with total global SWF assets under management (AUM) projected to hit $12 trillion by the end of 2024 and $18 trillion by 2030, according to a new Deloitte Middle East report.

Gulf-based SWFs—led by ADIA, Mubadala, Abu Dhabi Developmental Holding Company, Saudi Arabia’s PIF, and Qatar Investment Authority—now control around 40% of global SWF assets, with six of the world’s ten largest funds based in the region.

These funds deployed $82 billion in 2023 and another $55 billion in the first nine months of 2024, reflecting an aggressive investment strategy amid shifting market dynamics.

Their focus is increasingly turning toward high-growth markets in Asia, especially China, India, and Southeast Asia, where political and trade ties provide a strategic edge. Africa, particularly in the mining sector, is also attracting interest.

Emerging entities like Royal Private Offices, now managing an estimated $500 billion, are adding competitive pressure, prompting traditional SWFs to improve internal performance, risk oversight, and investment management.

Julie Kassab, SWF Leader at Deloitte Middle East, said Gulf funds are “driving innovation in investment strategies and operational excellence,” while also boosting their geographical footprint and internal capabilities.

The report highlights growing competition for global talent, with Gulf SWFs employing around 9,000 professionals and offering premium packages to attract experienced hires.

While geopolitical uncertainty and commodity price swings may pose risks, Deloitte says these challenges are likely to drive even greater efficiency and innovation across the sovereign wealth fund ecosystem.