Saudi Arabia Goes High-Tech in Approach to Investing

Talks with Tesla show how crown prince’s sovereign-wealth fund has become a global player, but some worry about impulsive, risky bets

When Saudi Arabia’s Crown Prince Mohammed bin Salman toured the U.S. two years ago, he couldn’t even get an audience with Tesla Inc. Chief Executive Elon Musk, people familiar with the outreach said. Now, the royal is in talks to take the electric-car maker private.

The shift shows how quickly Crown Prince Mohammed and his sovereign-wealth fund have become a pivotal global investor. The Public Investment Fund’s moves have also brought an element of unpredictability to a $225 billion fund, mirroring the headlong leadership...