Sovereign investors continue to increase in number, size, variety and scope. In this group we include Sovereign Wealth Funds (SWFs) and the very large Public Pension Funds (PPFs) who are active in the global market place and have many of the characteristics of SWFs. Sovereign Investors have increasingly captured attention and exerted influence in global financial markets. Over half the Sovereign Investors have sources of capital from commodities or hydrocarbon; and despite the recent fall in prices, we expect the total assets under management to reach USD 15tn by 2020.
As we look ahead to 2020 we believe five global megatrends are helping reshape the world economy and impacting Sovereign Investors. Sovereign Investors are not just passive actors affected by these megatrends. In fact, Sovereign Investors actively contribute to the megatrends by helping reshape their domestic economies.