Alabama Trust Fund

United States – Alabama US$ 2.5 billion Origin: Oil & Gas

Profile Directories

Sovereign Wealth Funds

Public Funds

Established: 1985
Transparency Rating: 9
View Sovereign Fund Transaction Data
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Firm Investment Style: n/a
Entity Structure: Fund
Population Est.: 4.822 million – 2012

Fund Details

Strategy & Objectives

SWF Asset Allocation

Fixed Income Managers

Equity Managers

Alternative Managers

Consultants and SPs

Key Executives and People

Main Office
Executive Office of the Treasurer (Alabama)
600 Dexter Avenue, Room S-106
Montgomery, Alabama 36104
United States
Tel:+1 334-242-7500

The Alabama Trust Fund is managed by the State Treasurer of Alabama. Fund assets are managed externally by managers chosen by the Board of Directors. The board shall have a membership of nine members: three ex officio members and six appointed members.

The Alabama Trust Fund (ATF) is funded by royalty payments that are received each month from oil and gas companies. 65% of those royalties remain as assets of the Alabama Trust Fund each year.

Background on Alabama Trust Fund
In 1978, major deposits of natural gas were found offshore in Mobile Bay, Alabama. In 1982, the voters of Alabama approved the creation of the Alabama Heritage Trust Fund. This fund was funded by the offshore gas deposits. In 1985, the voters passed a public referendum to create the permanent fund called the Alabama Trust Fund.

The fund is an investment vehicle for the management of oil and gas capital payments generated from drilling activity in Alabama’s offshore waters.

The initial amount of the fund was US$ 334 million. The gas royalty payments are in decline and are expected to cease in or about 2032.