Target Strategic Asset Allocation:
Asset allocation is used to help achieve the risk/return objectives of the total portfolio. The Strategic Target Asset Allocation Benchmark is designed to reflect ADIA’s (Abu Dhabi Investment Authority) vision of the world over the medium to long term. The on-going asset allocation is reviewed regularly by both the Strategy Committee and the Investment Committee.
By Region Range
North America 35.0% to 50.0%
Europe 25.0% to 35.0%
Developed Asia 10.0% to 20.0%
Emerging Markets 15.0% to 25.0%
By Asset Class Range
Developed Equities 35.0% to 45.0%
Emerging Market Equities 10.0% to 20.0%
Small Cap Equities 1.0% to 5.0%
Government Bonds 10.0% to 20.0%
Credit 5.0% to 10.0%
Alternative 5.0% to 10.0%
Real Estate 5.0% to 10.0%
Private Equity 2.0% to 8.0%
Infrastructure 1.0% to 5.0%
Cash 0.0% to 10.0%
Benchmarks:
ADIA uses a number of recognised independent benchmarks for its asset classes. For example:
Listed Equities S&P, MSCI and Russell Indices
Fixed Income JP Morgan Government Bond, Barclays Inflation Linked Bond Indices
Alternative Investments BTOP 50, MSCI World plus premia, regional real estate benchmarks.