Geopolitical changes are driving sovereign wealth funds to transform into "national strategic engines"! Accelerating the layout of AI and semiconductors.

A study released on Friday shows that as geopolitical situations continue to evolve, sovereign wealth funds are increasingly prioritizing national strategic goals, from enhancing infrastructure resilience to supporting key domestic industries, while pursuing investment returns. The research, published by IE University based in Spain, indicates that sovereign wealth funds with assets under management exceeding $15 trillion are becoming significant sources of funding in the field of artificial intelligence (AI). As governments around the world increasingly view AI and semiconductors as strategic assets, these funds are playing an increasingly important role in financing. Javier Capape, editor of the report and director of sovereign wealth fund research at IE University, stated, "This increasingly fragmented world is having an impact. Governments are increasingly using sovereign wealth funds to implement national strategies and establish stronger competitive positions in the global value chain." The study also reveals that sovereign wealth fund investments are shifting towards larger-scale transactions. While the number of direct investment transactions decreased by 17% to 391 deals compared to the previous reporting period, the total investment amount increased by 91% to $404 billion according to IE University's 2024 report. Capape noted that investments related to AI accounted for about a third of the total investment amount surveyed in this study. Companies such as Stargate, OpenAI, and Databricks attracted significant funding from sovereign wealth funds with longer investment horizons. Recent transactions include MGX based in Abu Dhabi providing support to OpenAI; MGX, Qatar Investment Authority, and Oman Investment Authority jointly financing xAI (now renamed SpaceXAI); and Qatar Investment Authority and Singapore's government investment corporation participating in Anthropic's $13 billion funding round. Driven by the AI investment boom, the United States attracted $220.4 billion in investments, making it the country with the highest inflow of funds. However, Capape pointed out that this study only counted direct investments disclosed publicly within the 18 months leading up to December 2025, therefore the situation reflected is just the tip of the iceberg as many sovereign wealth fund investments are not publicly disclosed. Gulf countries and other energy-rich nations like Norway remain major investors, with Singapore's Temasek leading in terms of transaction numbers with 71 deals. The report also tracks 12 newly established sovereign wealth funds, including MGX, as well as new funds from Ireland, the UK, Botswana, and Spain. Capape stated that this trend reflects more countries wishing to utilize national capital for strategic investments and expand their overseas influence. Capape said, "Since the end of the Cold War, the importance of non-market factors has exceeded any other period. We are entering a new era, and sovereign wealth funds are an important part of this transformation."