Sovereign funds move into tech with US$15 trillion


Overall, sovereign owned investors ploughed US$66bil into investments in artificial intelligence and digitalisation in 2025. — Bloomberg

NEW YORK: Sovereign wealth funds globally amassed a record US$15 trillion in assets under management in a year when many deepened their technology investments and profited from buoyant markets, according to a new report by Global SWF.

Overall, sovereign owned investors ploughed US$66bil into investments in artificial intelligence and digitalisation in 2025, the data firm said.

Middle East sovereign wealth funds led on digital investments, with Abu Dhabi’s Mubadala Investment Co investing US$12.9bil in artificial intelligence and digitalisation, followed by the Kuwait Investment Authority’s US$6bil and Qatar Investment Authority’s US$4bil in 2025.

Furthermore, the Middle East continues to be a hotspot for sovereign wealth fund riches.

The main seven Gulf wealth funds accounted for 43% of all capital invested by state owned investors globally at US$126bil, a historical maximum.

In particular, Saudi Arabi’s Public Investment Fund (PIF) was the single largest dealmaker of 2025 by commiting US$36.2bil.

Still, the PIF’s participation in the acquisition of Electronic Arts Inc made up the bulk of that figure. 

Stripping out that deal, Abu Dhabi’s Mubadala was the most active sovereign wealth fund, investing a record US$32.7bil over 40 transactions, according to the report.

Sovereign investors – a term that encompasses other entities such as public pension funds – grew their might in 2025 amid a market of strong returns for investors across fixed income, public equities, real estate and infrastructure, according to Global SWF. 

The United States stands out with US$13.2 trillion in assets under management by state owned investors, followed by China with US$8.2 trillion and the United Arab Emirates at US$2.9 trillion. 

Overall, the number one destination for state owned investments, by some margin, was the United States, attracting some US$131.8bil in 2025 compared with US$68.9bil a year earlier, the report said.

Investments into China by sovereign owned investors fell to US$4.3bil from US$10.3bil in 2024. — Bloomberg

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