In recent decades, sovereign wealth funds have become a popular method for managing a country’s wealth. They invest in global equity and bond markets, and increasingly they invest in specialist start-up funds focussed in the innovation and tech sectors. Typically, most people associate sovereign wealth funds with commodity-exporting countries. The likes of Saudi Arabia, Norway, Brunei and the UAE have large pools of savings, which are the result of commodity sales. The quantum of savings is huge. The largest sovereign wealth fund in the world has assets that are in excess of $800 billion. Normally, these funds are used to…

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