Fundo Soberano de Angola announces investment updates for Q2 2017

José Filomeno dos Santos, chairman of the board of directors, FSDEA

The Fundo Soberano de Angola (FSDEA), Angola’s sovereign wealth fund, today announced its second-quarter investment updates for 2017 that covers the period from 1 April to 30 June 2017.

At the end of this period, the total assets of the fund were valued at US$5.05bn and the highlights were as follows:

  • The FSDEA’s total assets increased to $5.05bn from $4.99bn in 2016;
  • 48% of the total portfolio was dedicated to assets in sub-Saharan Africa, 28% in North America, 18% in Europe, and 6% across the rest of the world;
  • The fund’s securities investment portfolio posted earned $67.27m;
  • Fixed income net investments were valued at $891m, representing 18% of the total portfolio;
  • Net variable income investments were valued at $674m, representing 14% of the total portfolio;
  • $459m of the portfolio’s $2.7bn allocation to private equity has already been invested in assets in Angola and the wider sub-Saharan African region;
  • The main gains of the seven private equity investment funds were recorded in the Agriculture Fund ($0.11bn), the Infrastructure Fund ($0.12bn) and Timber Fund ($0.04bn), which offset the capital depreciation of $0.02bn of the remaining four funds;
  • No additional capital was paid to the FSDEA by the Government

Commenting on the fund’s performance, José Filomeno dos Santos, chairman of the board of directors, FSDEA said, “As the FSDEA celebrates our fifth anniversary, I am extremely proud of what we have achieved in such a short time period. We are increasing the value of the private equity portfolio. The capital gains we continue to make are a testament to the unquestionable progress in the implementation of the FSDEA’s investment policy defined by the Angolan Government. The results for the second quarter underscore our ability to consistently balance growth and profitability.

“It is essential that we continue to make prudent investments and support the development of the non-oil sector within Angola, keeping in view the challenging macroeconomic environment domestically and internationally,” further added dos Santos.