SOFAZ discloses total profitability of investment portfolio

By Trend

The total return on the investment portfolio of Azerbaijan’s state oil fund (SOFAZ) in 2021 amounted to 4.5 percent or $1.934 billion, the Fund told Trend.

"In 2021, most of the world's major stock markets rose by 5-20 percent amid an improvement in the epidemiological situation. The expected tightening of monetary policy by world central banks in the face of inflationary pressure, as well as negative real interest rates, led to a decrease in the yield of debt securities. The increase in the number of vaccinated citizens in developed countries has had a positive impact on real estate income," the Fund said.

SOFAZ specifically noted the growing interest in logistics properties, as well as alternative types of real estate, such as office campuses, laboratories for pharmaceutical companies and others.

"As a result of the abovementioned developments, the total profitability of the Fund's investment portfolio amounted to 4.5 percent or $1.934 billion," the Fund said.