An investment strategy based on sound portfolio management principles

sovereign

Sovereign Wealth Funds

Sovereign Wealth Funds (SWFs) represent a large and growing pool of savings. SWFs have a variety of objectives, including intergenerational equity and macroeconomic stabilization, and their savings are effected by uncertain financial, economic and demographic developments. These developments force SWFs to define a clear investment strategy which is consistent with their defined objectives and risk tolerance as set by the owner of the governing body(-ies) and based on sound portfolio management principles.

This requires a systematic approach starting with the identification of the strategic objectives, suitable risk measures and appropriate risk budget, and leading to the most suitable investment strategy. The strategic risk management solutions of Ortec Finance are applicable and also allow SWFs to monitor the actual investment portfolios in an integral manner on an ex-ante and ex-post basis.