Wealth funds, central banks collectively manage $21 trillion
Some are buying as many bonds as possible, annual survey says
Gold is also favored as inflation hedge, with a significant proportion of central banks expecting to buy more of the precious metal over the next three years, the report said.
Photographer: Anindito Mukherjee/BloombergThe world’s sovereign investors are seeking to boost investment in bonds as yields rise, while a freeze on Russian assets has increased their demand for gold, Invesco Ltd. said in an annual report.
The survey covering 85 sovereign wealth funds and 57 central banks collectively managing about $21 trillion in assets showed that while inflation remains the most significant risk, many now intend to increase bond allocations, especially emerging-market and high-yield.