Scotland Should Start a Sovereign Wealth Fund
Standalone investment vehicles would be the best way for nations to channel their state aid into equity holdings.
Will a wealth fund flower in Scotland?
Photographer: Simon Dawson/Bloomberg
Scottish leader Nicola Sturgeon has navigated her own course in dealing with the aftershocks of the novel coronavirus. In pursuing what she calls an “interventionist approach” to the pandemic thrashing the economy, she’d be wise to consider creating a sovereign wealth fund to build a trust fund for her nation.
Scotland is willing to consider taking equity stakes in local companies to defend them from the costs of the extended lockdown triggered by the outbreak. “We are absolutely open to doing this if it makes strategic sense,” she told reporters in Edinburgh on Monday.