Mubadala CEO Sees 'increasing Uncertainty' In Global Economy

The CEO of Mubadala, Abu Dhabi's sovereign wealth fund, on Tuesday said increasing uncertainty across global markets will create challenges in the future.

Khaldoon Al Mubarak, group CEO and managing director, also said that the power of technology will make predicting the future "impossible".

He was speaking in a panel discussion at the Future Investment Initiative in Riyadh.

He said he had seen an escalation of uncertainty over the past 15 years, saying he expected "more of the same and increasing".

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"I'm not going to same that's a good thing or a bad thing... That's the reality of the world we now live in," he said.

"In this environment, where is the opportunity. We as a financial institution has a portfolio over the past 20 years where we have tried to navigate through this unvertainty. We have the benefit of being a sovereign fund of being able to take a long term view... I feel for challenges of those leading public companies and having the pressure of the one-year performance.

"We are... progreammed to take long term view... which helps you to manage through that uncertainty with a bit more comfort."

Our Group CEO & MD, Khaldoon Al Mubarak, joins the conversation with global leaders at @FIIKSA on how a new era of economic ambition is shaping the global economy and where we see opportunities for investors.

#AbuDhabi #UAE #FII2019 #KSA pic.twitter.com/18awWTtSVR— Mubadala (@Mubadala) October 29, 2019

On the future, Mubarak said: "I think the power of technology will make it impossible on the prediction side... you have to be nimble... able to be close to markets and sectors and well versed in the language of artificial intelligence."

In July, Mubadala Investment Co said it spent about $19 billion last year as the wealth fund expanded into more industries.

The fund invested additional and recycled capital across its existing sectors including technology, aerospace, commodities and financial services, as well as in new areas such as medtech, pharma and agribusiness, according to a statement.

At the same time, Mubadala monetized assets for about $15 billion.

Mubadala is part of Abu Dhabi’s efforts to diversify its economy by turning oil revenue into profitable investments while also attracting expertise and jobs.

The firm merged with International Petroleum Investment Co in 2017 and absorbed Abu Dhabi Investment Council last year, making it the world’s 13th-largest fund, according to the Sovereign Wealth Fund Institute.