Posted in Finance, Accounting and Economics Terms, Total Reads: 316
Definition: National Wealth Fund (Russia)
The Russian National Wealth Fund is the wealth fund of sovereign Russia. Russia initially had the Stabilization Fund of the Russian Federation which was later split into two parts, in the year 2008. One part, the Reserve Fund, deals with the lower risk, lower yield funds and manages the official reserves. This primarily put into use when the oil prices fall. The other part, the National Welfare Fund, is used for higher risk, higher yield products and also for federal budget expenses.
The main purpose of the fund is to guarantee the pensions for its citizens. This is achieved by insulating the economy from the impact of oil prices by absorbing the excess liquidity in the system and reducing the inflationary pressure.
Browse definitions and meaning of more concepts and terms similar to National Wealth Fund (Russia). The Management Dictionary covers definitions and overview of over 7000 business concepts from 6 categories.