The official version of this document can be found via the PDF button.
The below content has been automatically generated from the original PDF and some formatting may have been lost, therefore it should not be relied upon to extract citations or propose amendments.
WQ.83/2022
WRITTEN QUESTION TO THE MINISTER FOR TREASURY AND RESOURCES
BY DEPUTY M.R. HIGGINS OF ST. HELIER
QUESTION SUBMITTED ON MONDAY 28th FEBRUARY 2022
ANSWER TO BE TABLED ON MONDAY 7th MARCH 2022
Question
In respect of the States of Jersey's investment holdings, will the Minister advise Members of the following –
- the extent, if any, that the holdings are directly invested in Russian-based assets;
- the extent, if any, that the holdings are indirectly exposed to Russian-based assets through investments in companies that themselves are directly invested in Russian-based assets (for example, oil and gas companies); and
- the effect any such investments are expected to have on the returns from Jersey investments, both in the short and longer term?
Answer
The Minister would like to advise Members that:
- The States' Investment portfolio has no direct holdings in Russian assets. Indirectly, the portfolio holds a small amount of Russian assets through investment funds where the States is invested alongside other external investors. As at the 28th February 2022, the value of these holdings represents only 0.05% (£1.92million) of the total portfolio value.
- The Minister doesn't hold the level of granular detail on how or where companies within the States portfolio ultimately invest their capital. Furthermore, this information would change on a frequent basis as companies divest and re-invest their capital over time.
- Given the nominal value of the indirect investments their impact on the returns of the portfolio will be negligible. The majority of the States investment portfolio has a long-term investment horizon with consideration given to various market conditions, it is well diversified to help protect asset values during a downturn. Periods of underperformance can be experienced from time to time but the portfolio is well placed to meet its long-term investment objectives.
The Minister wishes to assure Members that communication with the relevant investment managers is ongoing to understand their plans for the future retention of any Russian-based investments.