SOFAZ holds 178.1 tons of gold, accounting for 32.3% of its portfolio

Photo: Trend News Agency

BAKU, Azerbaijan, October 20. The gold reserves of the State Oil Fund of Azerbaijan (SOFAZ) amounted to 178.1 tons as of October 1, 2026.

This was announced in a statement published by SOFAZ.

As of October 1 of this year, gold accounted for 32.3% of the investment portfolio of the State Oil Fund of Azerbaijan (SOFAZ).

In the same period last year, the fund's gold reserves were 184.8 tons, while the share of gold in SOFAZ's investment portfolio was equal to 32.8%.

"During the third quarter of 2026, volatility in global financial markets remained high as ongoing geopolitical tensions, inflationary pressures, and monetary policy expectations continued to weigh on all major asset classes. Despite the volatility observed during the quarter, global equity markets recorded positive returns, while government bond markets were under pressure amid rising yields. Commodity markets saw significant gains on the back of rising energy prices, while gold prices showed high volatility and weakened towards the end of the quarter.

During the third quarter, higher energy prices, persistent inflation, and sustained economic activity strengthened expectations that interest rates would be kept high, and as a result, government bond yields in major developed countries rose. Concerns about sovereign debt and high issuance of debt securities have put additional pressure on long-term bond yields. The growth in yield rates has had a negative impact on the value of bonds.

During the third quarter, resilient economic growth, strong corporate financial results, and continued investment in artificial intelligence and related infrastructure supported the rise of global equity markets. While a strong recovery was observed in August, rising bond yields and energy prices in September, compounded by renewed geopolitical tensions, negatively impacted investor sentiment and led to increased volatility. Despite these headwinds, global equity markets ended the quarter with gains, as strong corporate fundamentals bolstered their resilience against a more challenging macroeconomic environment.

"High volatility was observed in the price of gold during the third quarter. In August, the price of gold rose significantly, driven by renewed geopolitical uncertainty and investment demand; however, this trend reversed in September as yields on U.S. Treasury bonds climbed and the U.S. dollar strengthened," the report noted.