Sovereigns Series: Worlds in Motion maps the post-pandemic environment for sovereigns globally. Developed in partnership with the International Forum of Sovereign Wealth Funds (IFSWF), this series will feature articles, podcasts and webinars focused on issues important to members of the sovereign universe and their private sector counterparts such as asset managers, banks and other financial institutions. The series will cover nine topics: foreign direct investment, tax, disputes, environment, compliance, governance, anti-corruption, digitalization, alternative investment, institution building and sovereign borrowing.
In these introductory videos, Baker McKenzie Global Financial Institutions Chair Jonathan Peddie and IFSWF CEO Duncan Bonfield highlight the need to put the spotlight on sovereigns:
Investment Profile and Tax Considerations for Sovereign Wealth Funds
In the aftermath of COVID-19 and the resulting low-yielding environment, sovereign actors are looking more than ever to real estate, infrastructure, private equity, private debt and other alternative assets for strategic investment opportunities.
Although typically tax-exempt in their home countries, the investment activity of sovereign actors has global reach and their investment structuring sophisticated and increasingly varied in form. As such, sovereign investors, like most other market participants, are exposed to all manner of profound changes taking place in the wider tax landscape.
The State of State Immunity
Actors within the sovereigns universe are playing an even greater role in the global economy. However, have state immunity laws — many of which were developed over the past century — kept pace with these developments? In this second article in our Sovereigns Series, we examine this question, the approaches to state immunity in a variety of key financial centers and explore what the future holds for the doctrine of state immunity.
Strategies for Navigating the Global Foreign Investment Landscape
Over a year on from the start of the COVID-19 pandemic, advanced economies continue to introduce and consolidate foreign investment review (FIR) regimes. It has become even more imperative for sovereign wealth funds to consider carefully foreign investment review risks at this highly sensitive and volatile time in respect of deals that are underway and transactions being contemplated.
Taking the time to understand the rules and identify a regulatory strategy early in the deal process can minimize the risk of delays, last-minute changes to the deal structure, or even failed transactions. The first report in the series and the accompanying webinar provide an overview of criteria for reviewable investments, factors to consider when assessing risks and steps to get investments through the regulatory process.