sovereign wealth funds

Sovereign Wealth Funds are a large and increasingly important institutional investors. Very similar to sophisticated Family Offices SWFs seek to invest and grow national wealth and to safeguard it for future generations objectives. However, the macroeconomic background and political landscape of individual countries differ substantially and subsequently so do the investment strategies of SWFs. An increasing number of nations already have or are thinking about establishing a professionally managed sovereign wealth fund.

In advising governments and SWFs, Momentum Capital takes a very similar holistic approach as it does with single family offices. It always starts with a conversation about the perceived rationale for establishing an SWF, what a government wants to achieve in the long term and the legacy the SWF seeks to create. These are the first and fundamental points to address before addressing the key challenges for SWFs, such as macroeconomic policy, investment strategy and a robust governance structure.

Focused advice and guidance

We offer a broad range of advisory services for sovereign wealth funds:

  • Overall SWF mission, vision and mandate definition

  • Investment strategy definition

  • Asset manager selection and support in selecting asset managers and global custodians

  • Analysis of portfolio structure including risks assessment of implemented products, evaluation of asset management fees, and recommendations about the investment style and mandate structure

  • Investment organisation including analysis of governance, organisational structure, investment process as well as development of investment guidelines and specifications according to the legal requirements

  • Investment controlling, such as independent monitoring on the three levels of strategy controlling, controlling of investment tactics, and controlling of investment mandates or asset managers.

  • Research on various topics such as peer group comparisons, performance comparisons, cost analyses, etc.

Momentum Capital brings a different and broader perspective of an institutional investor to any governmental entity looking to establish an SWF. Why not contact us to have an initial conversation.