Mubadala Leads with $29.2 Billion Investments
Abu Dhabi’s Mubadala Investment Company has overtaken Saudi Arabia’s Public Investment Fund (PIF) to become the world’s top sovereign wealth fund investor in 2024. This shift highlights Mubadala’s aggressive global investment strategy, with its capital deployment surging by 67% compared to 2023.
Mubadala’s Rise to the Top
In 2024, Mubadala deployed $29.2 billion across 52 deals, a significant jump from $17.5 billion in 2023. In contrast, the PIF’s investments fell 37%, dropping from $31.6 billion in 2023 to $19.9 billion in 2024.
- Mubadala’s global expansion saw 85% of its capital directed to developed markets.
- 57% of these investments were concentrated in the United States.
- Only 5% of its funds were deployed within the UAE.
- With $330 billion in assets under management, Mubadala’s key investment sectors include artificial intelligence, technology, financial services, life sciences, and healthcare.
PIF’s Shift to Domestic Focus
The PIF, with a significant focus on domestic initiatives, reduced its foreign investments to around 20% of total assets under management. This strategy aligns with statements by Yasir Al-Rumayyan, PIF’s governor, during the Future Investment Initiative (FII) in Riyadh.
Global Sovereign Wealth Trends
The “Oil Five”, comprising Mubadala, Abu Dhabi Investment Authority, ADQ, PIF, and Qatar Investment Authority, dominated global sovereign wealth fund activity in 2024. Collectively, they represent the Gulf region’s growing influence in the sector.
- Total investments by sovereign wealth funds reached $136.1 billion, a 7.1% increase from 2023, spread across 358 deals.
- Average deal size: $380 million.
- Total sovereign wealth fund assets surpassed $13 trillion for the first time, with the Gulf region accounting for 38%.
- China and Norway held significant shares at 20% and 14%, respectively.
“Our focus on global markets and strategic sectors such as AI and life sciences reflects Mubadala’s commitment to driving sustainable growth,” said Khaldoon Al Mubarak, Mubadala’s CEO.
Mubadala’s ascent as the top global sovereign wealth fund investor underscores Abu Dhabi’s expanding influence in global markets. With a focus on innovation and strategic sectors, Mubadala has set a benchmark for other funds, while the Gulf region continues to solidify its dominance in the global sovereign wealth landscape.
