#Saudi Wealth Fund Ditches Blue-Chip Stocks, Adds ETFs - Bloomberg

Saudi Wealth Fund Ditches Blue-Chip Stocks, Adds ETFs - Bloomberg:

Saudi Arabia’s $325 billion sovereign-wealth fund continued buying U.S. stocks as it hunted for opportunities in the economic wreckage of the coronavirus crisis, but largely exited the blue-chip positions it bought in the first quarter.

The Public Investment Fund, chaired by Crown Prince Mohammed bin Salman, disclosed stakes worth $10.1 billion at the end of the second quarter, according to a regulatory filing. This included holdings in exchange-traded funds tied to the utilities and materials sectors. It also boosted its stake in Suncor Energy Inc. and Carnival Corp.

PIF’s investment drive saw it build holdings in some of the biggest global companies since the start of the coronavirus pandemic, with about $8 billion worth of stakes in firms including BP Plc, Boeing Co., Citigroup Inc. and Facebook Inc. It exited all those names as well as Marriott International Inc., Walt Disney Co., Total and Royal Dutch Shell Plc.

The trading comes as the world’s largest crude exporter faces exceptional fiscal pressure following a crash in global oil markets.