Presidential Decree 216/24, of 21 October 2024, approved the Investment Policy of the Angolan Sovereign Fund (Fundo Soberano de Angola, FSDEA). This article provides a summary.
The main objectives of the FSDEA are the following:
The FSDEA shall achieve financial returns while protecting its capital, and its investments shall be aimed at:
The FSDEA is totally independent from the state administration and bodies.
The FSDSE investment portfolio shall be allocated as follows:
Investments in petroleum assets shall not exceed 5% of the fund’s assets.
The fund may invest in alternative investments, including private equity and venture capital.
The fund may use hedging instruments, including derivatives, to hedge the risk of its investments.
In special cases, the fund may use leverage for its investments up to a maximum of 5% of the fund’s capital.
Investment returns shall be used primarily for reinvestment. They may also be used for development and social responsibility projects.
Investments shall be made primarily in US Dollars, although investments in other currencies are also possible.
The Board of Directors of the fund shall approve a Risk Management Policy.
The fund may hire external asset managers who meet the following requirements:
The same asset manager cannot manage more than 30% of the fund’s global portfolio.
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