A new player is emerging as a global sports leader, with high-profile investments in leagues and players around the world: Saudi Arabia’s Public Investment Fund.
The PIF, under the control of Crown Prince Mohammed bin Salman Al-Saud and governance of Yasir Al-Rumayyan, has invested heavily in recent years in Formula 1, the English Premier League, boxing and, perhaps most controversially, LIV Golf.
The breakaway circuit, founded in 2021 as a direct competitor to the PGA Tour, used its significant financial backing from the PIF to lure some of the world’s top golfers and shake up golf in a way never seen before. LIV Golf was part of another sizable shakeup on June 6 when it, the PGA Tour and the DP World Tour announced a merger to globalize golf on an unprecedented scale.
Under the proposed terms of the arrangement, Al-Rumayyan will be the chairman of the yet-to-be-named venture, and each of the tours will receive financial backing from the PIF. That will afford the fund — which reportedly owns more than 90 percent of LIV Golf — a large minority stake in the merged entity, depending on how much it invests.
MORE: LIV Golf and PGA Tour merger, explained
Regardless, the PIF stands to drastically increase its influence on golf.
What, exactly, is the PIF and why has it invested so heavily in sports ventures in recent years? The Sporting News has everything you need to know about the fund, who controls it, and its purported end goal:
What is PIF in golf?
The Public Investment Fund is the Kingdom of Saudi Arabia’s state-owned sovereign wealth fund (SWF). It is among the wealthiest in the world. The fund was created by royal decree in 1971 at the behest of King Faisal bin Abdulaziz Al-Saud.
The purpose of the PIF is, ostensibly, to invest in global and domestic ventures for the betterment of the Saudi economy. It has been more aggressive in making investments since bin Salman became Saudi Arabia’s de facto ruler in 2015.
It is also a key component of bin Salman’s “Saudi Vision 2030,” his plan for the country to reduce its dependence on oil and diversifying its economy with investments in health, education, infrastructure and tourism. He reportedly hopes to grow the wealth of the PIF to $2 trillion by 2030.
Critics of Saudi Arabia have accused the country of using the PIF to fund a “sportswashing” campaign to hide its history of human rights violations and paint the country in a more positive light.
MORE: What is sportswashing? Merger latest attempt by Saudi Arabia to become global sports leader
What is a sovereign wealth fund?
A sovereign wealth fund (SWF) is a state-owned or operated fund that manages the country’s savings for the purpose of investment, usually on a global scale. The financial assets typically include stocks, bonds, real estate, precious metals or alternative investments.
SWFs typically are funded by commodity export revenues and foreign exchange reserves from a central bank. It is possible for countries to have more than one sovereign wealth fund.
MORE: LIV Golf-PGA Tour merger winners and losers
How much money does Saudi Arabia’s PIF have?
According to data from the Sovereign Wealth Fund Institute (SWFI), Saudi Arabia’s Public Investment Fund is worth $650 billion in total assets. The New York Times estimates the assets are worth more than $700 billion, while other estimates peg the fund at closer to $620 billion. Whatever the number, it not the world’s largest SWF.
Largest sovereign wealth funds
The PIF ranks seventh globally according to rankings from the SWFI:
| Rank | Fund | Country | Assets (USD) |
| 1. | Norway Government Pension Fund Global | Norway | $1.37 trillion |
| 2. | China Investment Corporation | China | $1.35 trillion |
| 3. | SAFE Investment Company | China | $1.02 trillion |
| 4. | Abu Dhabi Investment Authority | Emirate of Abu Dhabi | $850 billion |
| 5. | Kuwait Investment Authority | Kuwait | $750 billion |
| 6. | GIC Private Limited | Singapore | $690 billion |
| 7. | Public Investment Fund | Saudi Arabia | $650 billion |
MORE: Meet Yasir Al-Rumayyan, chairman of the new PGA Tour-LIV Golf entity
Who is the PIF’s governor?
Yasir Al-Rumayyan, the chairman of the pending PGA-LIV merged entity, is the governor of the PIF. He has held that position since 2015. Apart from his role as PIF governor, Al-Rumayyan is also the chairman of Newcastle United of the English Premier League. In addition, he has helped lure two of the world’s top soccer players, Cristiano Ronaldo and Karim Benzema, to the Saudi Professional League.
Al-Rumayyan, 53, also serves several notable roles outside sports: he is chairman of state-owned oil giant Saudi Aramco and is a board member for Japanese conglomerate SoftBank. He held a similar position with Uber.
The PIF is chaired by bin Salman, who was named crown prince in 2017. He has been the de facto ruler of Saudi Arabia since 2015 and is largely considered to be responsible for much of the PIF’s investments in recent years.
PIF sports investments
The PIF has made multiple investments in sports since bin Salman was named crown prince in 2017. Here is a brief timeline dating back to 2018:
- Hosting boxing title fights (2018-22)
- PIF purchase of Newcastle United (October 2021)
- Founding of LIV Golf (October 2021)
- Founding of F1 Saudi Arabian Grand Prix (December 2021)
- Cristiano Ronaldo signs with Saudi Pro League’s Al-Nassr (Dec. 30, 2022)
- Saudi Arabia bids to host 2030 World Cup (Feb. 7, 2023)
- Saudi Arabia to host 2023 Club World Cup (Feb. 15, 2023)
- PIF purchases three SPL teams (June 5, 2023)
- PGA Tour-LIV Golf merger (June 6, 2023)
- Karim Benzema and N’Golo Kante sign with PIF-owned Al-Ittihad (June 7, 2023)