A report from Willis Towers Watston’s Thinking Ahead Institute – a not for profit organisation – suggests that the top 100 asset owners globally own some $19trn (€16.9trn) of assets, or about 35% of all capital worldwide.
These investors are described as having the discretion to invest into any country and any asset class, with the potential to “shape capital amrkets and play a key role in the smooth running of the global economy”.
Roger Urwin, global head of Investment Content at the Thinking Ahead Institute, said: “With around $55trn in assets – a sum that is more than $10,000 for every adult on the planet – asset owners globally are too important to fail in their mission. They have little choice but to take their financial and social responsibilities seriously, and not to shirk the big issues. These include the need to develop stronger leadership, respond effectively to regulation, manage agency issues and improve control over outcomes.”
“There is also a more over-arching need for these large asset owners to understand the world in which they operate, and over which they potentially hold such influence. Over the next decade, this means doing more to institutionalise professionalism, streamline operating models, leverage culture and diversity more effectively and evolve the investment model into increasingly smart and sustainable arrangements.”
The analysis of the data suggests that some 61% of the assets held by the top 100 asset owners are in pension funds, with 32% held in sovereign wealth funds and 7% by outsourced CIOs and master trusts.
The largest region in terms of AUM is Asia-Pacific (36%), followed by Europe, the Middle East and Africa (34%), and North America (30%).
The Thinking Ahead Institute’s analysis found that 61% of the assets of the AO100 are held by pension funds, with 32% held by sovereign wealth funds and 7% by outsourced CIOs and Master Trusts. The largest region in terms of assets under management was Asia/Pacific (36%), with 34% in Europe, the Middle East and Africa, and 30% in North America.
Top 20 asset owners (in $m)
|Rank||Organisation||Country||Total Assets||Primary Category|
|1||Government Pension Investment||Japan||$1,443,554||Pension Fund|
|2||Government Pension Fund||Norway||$1,063,456||Pension Fund|
|3||China Investment Corporation||China||$900,000||Sovereign Wealth Fund|
|4||Abu Dhabi Investment Authority||UAE||$828,000||Sovereign Wealth Fund|
|5||National Pension||South Korea||$582,938||Pension Fund|
|7||Federal Retirement Thrift||U.S.||$531,489||Pension Fund|
|8||Kuwait Investment Authority||Kuwait||$524,000||Sovereign Wealth Fund|
|9||SAMA Foreign Holdings||Saudi Arabia||$514,000||Sovereign Wealth Fund|
|10||Hong Kong Monetary Authority Investment Portfolio||Hong Kong||$456,600||Sovereign Wealth Fund|
|11||SAFE Investment Company||China||$441,000||Sovereign Wealth Fund|
|12||GIC Private Limited||Singapore||$359,000||Sovereign Wealth Fund|
|13||National Social Security||China||$341,361||Pension Fund|
|14||California Public Employees||U.S.||$336,684||Pension Fund|
|15||Qatar Investment Authority||Qatar||$335,000||Sovereign Wealth Fund|
|16||Canada Pension||Canada||$283,454||Pension Fund|
|17||Central Provident Fund||Singapore||$269,133||Pension Fund|
|19||Temasek Holdings||Singapore||$230,310||Sovereign Wealth Fund|
|20||Public Investment Fund/Sanabil Investments||Saudi Arabia||$230,000||Sovereign Wealth Fund|