Azerbaijan: Sofaz steps out of its comfort zone

The State Oil Fund of Azerbaijan has always feared risk. Now it’s seeking higher yields, branching out into listed securities, real estate, gold and emerging market debt. But is this ultra-cautious fund really ready?

Shahmar Movsumov is a rock star in Azerbaijan. This must be true because he is described as such by his minders, by local businessmen and, most compellingly and personally, by Ell & Nicki, a bouncy Azeri pop duo, winners of the 2011 Eurovision song contest, who also describe him as “pretty cool”.

Rock star or not – and if he is one, he is more Chris Martin than Keith Moon – the amenable Movsumov, who also bears more than a passing resemblance to Robert McNamara, the US secretary of defence during the Vietnam War, is one of the most important people in this tiny Central Asian state.

Access intelligence that drives action

To unlock this research, enter your email to log in or enquire about access