In late spring 2010, Liv Hugen returned to her native Scandinavia to relax before assuming duty over the property portfolio for her government's sovereign wealth fund. The fund's complex portfolio was expected to grow to about $500 billion in the near term and to $1 trillion over the next ten years.
The earnings were to be invested to help the peoples of Scandinavia, a generally defined objective including, among other things, medical care services, social security, and social services. In March 2010, the fund received approval to invest up to 5 percent of the portfolio in real estate. Hugen basically had a tabula rasa for the real estate program. She needed to finalize investment guidelines for the program, a long term and short term investment strategy, and equally important, an implementation plan for what would ultimately be among the planet 's biggest real estate portfolios. This case explores the advice Hugen collected and what problems she considered.
The Biggest Gorilla in the Room case study solution
PUBLICATION DATE: April 29, 2011 PRODUCT #: RE136-HCB-ENG
This is just an excerpt. This case is about FINANCE & ACCOUNTING
