Impact of Oil Prices on Sovereign Funds (The Assets and Investments)

The contribution is aimed at detecting how changes in oil prices influenced the development of assets of the oil sovereign funds, which countries possessing sovereign funds have been most affected, and whether and how changes in oil prices affected the foreign direct investments made by countries with the sovereign wealth funds. Analytical apparatus use the officially available data for oil prices, import, export, FDI and assets and investments of sovereign funds from SWF Institute. The causality between oil prices and annual growth of sovereign funds wealth in Kazakhstan, Norway and Russia has been confirmed. Shock in oil prices had the greatest impact on the value of assets in Russian sovereign wealth funds, then the SWF of Kazakhstan and the least impact had been obsereved upon Norwegian SWF. In the case of Russia, the shock in oil prices has had a long lasting effect. Saudi Arabia does not suffer from the low oil prices and it does not affect the principles of its investment decisions.