RIYADH: Saudi Arabia’s Public Investment Fund ranked as the world’s second most active sovereign investor by deal value in February, committing $3 billion in global transactions.
Global SWF, a data platform tracking activity in the sector, reported that Canada’s public pension fund topped the rankings with a $7 billion deal. The Kingdom’s PIF emerged as the most active sovereign wealth fund, completing three overseas deals through its portfolio companies.
Globally, sovereign investors executed 22 deals worth a combined $16.5 billion. Alongside PIF and CDPQ, other major players included South Korea’s National Pension Service, which committed $1.6 billion to a real estate transaction, and Canada’s BCI, with a $1.3 billion infrastructure deal.
This surge in cross-border activity highlights a growing trend among sovereign and public investors — particularly those in the Gulf region — to seize emerging global opportunities while hedging against domestic economic fluctuations.
Established in 1971, PIF has undergone a dramatic transformation since 2015 under the leadership of Crown Prince Mohammed bin Salman. Once a primarily domestic fund, it has evolved into a globally influential SWF managing $925 billion in assets and driving the Kingdom’s Vision 2030 agenda.
PIF’s rapid rise in less than a decade underscores the scale and ambition of Saudi Arabia’s investment-led economic diversification strategy.
It began 2025 by continuing to expand its global footprint across sectors such as entertainment, aviation, and finance.
This acceleration followed a series of strategic shifts during the fourth quarter of 2024, as the fund restructured its portfolio in line with long-term priorities and Vision 2030 goals.
According to its latest 13F SEC filing, PIF’s US equity holdings stood at $26.71 billion at the end of 2024, marking a 24 percent year-on-year decline. This reflects a more cautious and selective investment stance, as the fund scaled back on consumer-focused positions while pivoting to sectors with perceived long-term resilience.
Notably, PIF exited its holdings in Walmart and Marriott while ramping up exposure to healthcare and life sciences, including new or expanded stakes in Thermo Fisher Scientific, Abbott Labs, and Regeneron Pharmaceuticals.
It also increased its stake in electric vehicle manufacturer Lucid Motors by $495 million, more than doubled its investment in Amazon, and reduced its exposure to Uber by $1.08 billion — moves that signal a recalibrated strategy emphasizing selectivity and long-term value.
Building on this repositioning, PIF took steps in early 2025 to fund domestic giga-projects and extend its international reach. In January, the fund issued a US dollar-denominated bond, sold Thiqah Business Services to Elm for $907 million, and acquired a 23 percent stake in Saudi Re to bolster the Kingdom’s insurance sector and financial resilience.
In capital markets, PIF made a $200 million anchor investment in the SPDR Saudi bond ETF, launched in January on the London and Frankfurt exchanges.
This move aims to internationalize Saudi Arabia’s debt market, following similar ETF initiatives in Hong Kong in late 2023 and Tokyo in December 2024, helping deepen the Kingdom’s financial links with Asia and beyond.
PIF has continued to strengthen its presence in sports and gaming in 2025. Its subsidiary, Savvy Games Group, acquired Niantic’s gaming division, including Pokémon Go, for $3.5 billion — marking a major move in mobile and AR gaming.
The wealth fund also remains engaged in complex negotiations with the PGA Tour over integrating LIV Golf, a key element in its broader sports investment strategy.
In the UK, the fund reaffirmed its long-term commitment to Newcastle United FC through “Project 2030” and is reportedly exploring a 49 percent stake in Newcastle International Airport, positioning itself to create synergies between its travel and sports portfolios.
