Governor of the Saudi Public Investment Fund, Yasir Othman Al-Rumayyan speaks during the fourth annual Future Investment Initiative in Riyadh, Saudi Arabia, Jan. 27.AHMED YOSRI/Reuters
The Public Investment Fund (PIF), Saudi Arabia’s sovereign wealth fund, nearly tripled its holdings of U.S.-listed stocks to $43.45 billion in the third quarter, adding shares of Alibaba Group, Walmart and Pinterest.
Its U.S.-listed stock holdings in the quarter ended Sept. 30 increased from nearly $16 billion in the prior quarter, according to a U.S. Securities and Exchange Commission filing.
Other stocks it bought included Just Eat Takeaway.com and Ballard Power Systems.
The PIF, which manages $430 billion in assets, is at the centre of Saudi Arabia’s plans to transform the economy by creating new sectors and diversifying revenues away from oil.
The PIF also owns a 62.72% stake in electric car company Lucid, which has a market value of about $71 billion, a significant boost in value from the end of September.
Lucid’s listing in July was a huge dividend for the Saudi sovereign wealth fund, which invested more than $1 billion in the company in 2018 for a substantial stake and invested more in February. The PIF also owns a 3.75% stake in ride-sharing company Uber Technologies.
The PIF is pursuing a two-pronged strategy, building an international portfolio of investments while also investing locally in projects that will help reduce Saudi Arabia’s reliance on oil.
It has also invested $45 billion in Softbank’s inaugural $100 billion technology fund.
The PIF has boosted its firepower from several funding sources in recent years, including loans and a $40 billion transfer from central bank reserves last year.
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