WASHINGTON: Saudi Arabia’s National Development Fund signed a memorandum of understanding worth SR12 billion ($3.2 billion) with global financial advisor Northern Trust during the Saudi-US Investment Forum this week.
The aim of the agreement is to support financial sustainability and promote Saudi development goals by enhancing the efficiency of asset management and diversifying global investments, the Saudi Press Agency reported.
Northern Trust will provide investment-management services and manage global passive equity investments under the agreement, in line with Saudi and international strategies linked to the National Development Fund.
The deal designates Northern Trust as custodian of the fund’s assets and manager of a global equity portfolio on its behalf. The goal is to maximize sustainable returns that align with the fund’s long-term objectives, the organizations said.
A working group will be set up to develop an implementation plan and explore innovative investment products to enhance asset management for the fund, they added.
