The shift in economic power to the East
is especially meaningful when it comes
to sovereign investors. Southeast Asia
and the Middle East hold some of the
largest funds and are the most active
outbound-capital regions. China’s assets
under management alone almost equal
the wealth of all the rest of the sovereign
investors combined, when including the
almost USD 4 trillion of foreign reserves
in the books of China’s State
Administration of Foreign Exchange
(SAFE). As economic power shifts to the
East, it is crucial for sovereign investors
to grant an equal importance to
investments in both developed and
developing countries.