BAKU, Azerbaijan, December 28. President of the Republic of Azerbaijan Ilham Aliyev has signed a decree amending the "Rules for the Storage, Placement, and Management of Currency Funds of the State Oil Fund of the Republic of Azerbaijan" (SOFAZ), originally approved by the President's decree on June 19, 2001, TurkicWorld reports.
The new decree outlines significant changes regarding SOFAZ's investment portfolio. The portfolio, divided according to the fund's investment policy, may now include various assets, such as:
- money market instruments with an investment-grade credit rating (from Standard & Poor's, Fitch, or Moody's) and deposits in central (national) banks;
- debt obligations with an investment-grade credit rating;
- stocks;
- real estate, including infrastructure;
- equity interests in alternative investment funds;
- gold bars (gold) meeting the standards set by the London Bullion Market Association;
- debt instruments with non-investment-grade ratings or money market instruments, provided that the total value of the investment portfolio does not exceed five percent, including up to one percent rated at least "B-" (Standard & Poor's, Fitch) or "B3" (Moody's), with the remaining portion rated at least "BB-" (Standard & Poor's, Fitch) or "Ba3" (Moody's).
