The Abu Dhabi Investment Authority (ADIA) sovereign wealth fund increased its proportion of assets managed internally to 64% in 2023, up from 55% the previous year, the managing director said in its 2023 review released on Thursday.

The increase was mainly due to changes in managing indexed equity exposures, with significant recent expansions in the core portfolio department's capabilities, according to the review.

ADIA is the oldest of Abu Dhabi's three major government-controlled funds that invest on behalf of the emirate's government. It does not disclose the value of its assets.

Managing Director Sheikh Hamed bin Zayed Al Nahyan, a member of Abu Dhabi's ruling family, said ADIA had been well positioned in 2023 to capitalise on market gains, while benefiting from "dislocations" in areas where conditions were more challenging.

The fund's 20-year and 30-year annualised rates of return on a point-to-point basis were 6.4% and 6.8%, respectively, as of the end of 2023, compared to 7.1% and 7% at the end of 2022.

The allocation to private equity grew in 2023 to 12%-17% of ADIA's total portfolio from 10%-15% the previous year, according to the 2023 review.

(Writing by Alexander Cornwell; Editing by Tomasz Janowski)