Middle-east Arab News Opinion | Asharq Al-awsat

Libyan fund lost $1.75 bln in investments managed by Goldman, SocGen-head | ASHARQ AL-AWSAT English Archive 2005 -2017
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MILAN, (Reuters) – The Libyan sovereign wealth fund has lost $1.75 billion on financial investments in structured products managed by Goldman Sachs and Societe Generale , the fund’s chairman said on Wednesday.

Mohsen Derregia, chairman of the Libyan Investment Authority, told reporters in Milan LIA needed to review these investments and how they were managed.

“Then we will talk to the investment houses and see if we can claim a refund,” Derregia said.

The total value of assets managed by LIA had fallen less than LIA feared, he said, and stood now “midway between $50 billion and $60 billion,” he said.

LIA has had its stakes in several Italian companies including UniCredit and Fiat seized by Italian police because prosecutors believe those investments belong to members of the Gaddafi family.

Derregia, who is fighting to get that seizure reversed, said LIA would keep its 1.8 percent stake in UniCredit stable.

He said LIA could buy more shares in the bank if this was in its own interest, and that it would not make sense to sell down its Italian portfolio now given current market conditions.