Neuberger Berman and the Public Investment Fund of Saudi Arabia on Wednesday announced the signing of a non-binding memorandum of understanding to launch a Riyadh-based multi-asset investing program.
The partnership will support up to $6 billion in investments in Saudi Arabia, with the goal of accelerating the growth of the Saudi and Middle Eastern capital markets. The new investment platform will manage equity, fixed income and private markets strategies.
According to a statement, Neuberger is currently seeking to obtain the necessary licenses to launch the platform in the country. Neuberger manages $515 billion in assets globally, while the PIF, the sovereign wealth fund of Saudi Arabia, manages $925 billion.
The PIF is the main driver of Saudi Arabia’s Vision 2030, a directive to diversify the country’s economy away from being oil dependent.
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“We are honored to partner with PIF, one of the largest and most sophisticated institutional investors,” said George Walker, CEO of Neuberger Berman, in a statement. “Through our global multi-asset investment platform and our local business expansion, we look forward to contributing to the domestic economy, building local teams, promoting education and training, and aligning our global expertise with the unique needs of the region as laid out by Vision 2030.”
The Middle East has become a hotspot for banks, asset managers and other institutions looking to expand their geographic footprint. In 2023, the sovereign wealth funds of the Middle East collectively managed $4.1 trillion, according to PwC.
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Tags: Neuberger Berman, PIF, Public Investment Fund, Saudi Arabia
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