Global sovereign wealth funds, including state pension funds in the West, have reallocated more of their investments from low-interest bonds to international real estate and private equity, a survey by Invesco found.

In the last year, real estate holdings increased by 69 percent, according to the Global Sovereign Asset Management Study, which looked at 38 sovereign investors. They included state pension funds and sovereign wealth funds that have assets of nearly $5 trillion. The funds represented the West (11); Asia (10); emerging markets in Latin America and Africa (nine); and the Middle East (eight).

While private equity stakes rose by 61 percent, sovereign investors fled international and domestic bonds, down 38 percent and 18 percent, respectively.