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Sovereign Wealth Funds Briefing - Archive | September, 2011

Temasek Holdings invests further in Alibaba Group

Posted on 27 September 2011 by VRS  |  Email |Print

Temasek Holdings is an existing shareholder in the Alibaba Group. DST Global, Yunfeng Capital, Silver Lake, and Temasek Holdings are participating to invest in the Alibaba Group. Alibaba Group is one of China’s biggest e-commerce companies.
The key objective of the investment is to provide liquidity to Alibaba’s employees. It is said the amount of stock from Alibaba employees that was being purchased is around US$ 1.6 billion. ………………………………………Full Article: Source

Wealth funds to pour billions into shares worldwide

Posted on 26 September 2011 by VRS  |  Email |Print

Mike BurnsSovereign Wealth Funds (SWFs) are preparing to pour billions of dollars into shares around the globe as they take advantage of low prices in the latest stock-market collapse.
Mike Burns, the executive director of the $40bn Alaska Permanent Fund, told The Independent on Sunday that the SWF’s board will meet on Friday to discuss moving hundreds of millions of dollars from fixed-income products, such as bonds, to shares……………………………………….Full Article: Source

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CIC president: Won’t buy Europe bonds

Posted on 26 September 2011 by VRS  |  Email |Print

Gao XiqingChina Investment Corp., the country’s sovereign wealth fund, has no intention of buying European bonds, Caixin media group reported Sunday, citing CIC President Gao Xiqing.
“Everyone has heard Premier [Wen Jiabao] say China is willing to support Europe, but as a company, CIC’s mission from the government is to maintain a certain profitability, so we cannot just go to Europe and save anybody, we have to protect ourselves,” the report quoted Gao as saying at an International Monetary Fund meeting in Washington, when asked if CIC would buy the common euro-zone bonds being discussed in the region……………………………………….Full Article: Source

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CIC: Open to euro bonds that fit risk profile

Posted on 26 September 2011 by VRS  |  Email |Print

China Investment Corp. is open to purchasing a new kind of euro-zone bond being considered to help alleviate the region’s debt woes, so long as the bonds aren’t seen by its market analysts as too risky.
“If it has a risk profile that fits into our allocation, we’ll buy some,” said Gao Xiqing, president of the sovereign-wealth fund. “But don’t expect us to buy more than our risk appetite would take.”………………………………………Full Article: Source

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China CIC manager: We can’t save Europe

Posted on 26 September 2011 by VRS  |  Email |Print

China Investment Corp needs to ensure its own interests first and can’t save Europe, the sovereign wealth fund’s manager was quoted as saying at the weekend.
“As a company, our task is assigned by the government to maintain a certain profitability so we can’t simply go to Europe and save someone. We have to protect ourselves,” Gao Xiqing was quoted as saying by Caixin, a financial website……………………………………….Full Article: Source

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GIC ‘not consulted in UBS management change’

Posted on 26 September 2011 by VRS  |  Email |Print

The Government of Singapore Investment Corporation (GIC) - UBS’ biggest shareholder - repeatedly expressed confidence in the bank’s former CEO Oswald Gruebel, Swiss newspaper NZZ am Sonntag reported, citing an interview with UBS chairman Kaspar Villiger.
According to the newspaper, Mr Villiger also said that the UBS board “begged” Mr Gruebel to stay on as chief executive officer to help with crisis management. When contacted by Today, a GIC spokesperson declined to comment……………………………………….Full Article: Source

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China to Europe: Don’t expect a bailout from us

Posted on 26 September 2011 by VRS  |  Email |Print

That was the message delivered by a number of Chinese officials during meetings at the International Monetary Fund, where China was widely seen as an answer to the euro zone’s problems, either as a purchaser of European debt or as a country that could further goose its economic growth rate.
“We can’t just go save someone,” said Gao Xiqing, president of China Investment Corp., China’s huge sovereign wealth fund. “We’re not saviors. We have to save ourselves,” he said………………………………………Full Article: Source

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GIC supported outgoing UBS chief executive: Report

Posted on 26 September 2011 by VRS  |  Email |Print

The Government of Singapore Investment Corp (GIC), the biggest shareholder in embattled UBS, repeatedly expressed its support for outgoing chief executive Oswald Gruebel, according to a Swiss newspaper report.
Mr Gruebel, 67, quit on Saturday after taking responsibility for a scandal that saw a rogue trader lose US$2.3 billion (S$3 billion)……………………………………….Full Article: Source

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Is GIC experiencing a computer glitch like CNB?

Posted on 26 September 2011 by VRS  |  Email |Print

According to the annual reports of the Government Investment Corporation (GIC), it was reporting its 20-year nominal returns in both US$ (5.7%) and S$ (4.4%), in its 2009 report. It also gave the real return in Singapore Dollars (S$), at 2.6 per cent, but not in United States of America Dollars (US$).
However GIC’s 2010 and 2011 reports only gave returns in US$. Which means that the report went from reflecting no real US$ returns in 2009, to only real US$ returns in 2010 and 2011, being 3.8 per cent and 3.9 per cent respectively, and no longer in S$. Why is this so?………………………………………Full Article: Source

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Korea sovereign fund mulls upping Bank of America stake

Posted on 26 September 2011 by VRS  |  Email |Print

South Korea’s sovereign wealth fund is considering investing the remainder of a dividend it received from Bank of America Corp. to increase its stake in the U.S. banking giant from 0.67% now, and will address its investment plans at a meeting Wednesday, people familiar with the matter said Friday.
Word of the possible investment comes after Korea Investment Corp., which invests funds from the Ministry of Strategy and Finance and the Bank of Korea, reinvested $78 million of the $145 million in dividends it has received from Bank of America in several transactions earlier this year……………………………………….Full Article: Source

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Bank of America: Korean sovereign fund considers bigger investment

Posted on 26 September 2011 by VRS  |  Email |Print

A South Korean sovereign wealth fund is considering increasing its stake in Bank of America (BAC), the Wall Street Journal reported today. The fund, which now owns about 69 million shares, or 0.67% of the bank’s stock, considers the stock undervalued and will meet with advisers on Wednesday to broach the idea of upping its stake.
The Korea Investment Corp. has already reinvested $78 million of the $145 million worth of Bank of America dividends it earned this year. But because the fund’s previous investments in the U.S. haven’t gone well, the decision could face political pressure……………………………………….Full Article: Source

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KIC: Yet to decide on further investment in Bank of America shares

Posted on 26 September 2011 by VRS  |  Email |Print

South Korea’s sovereign wealth fund Korea Investment Corp., or KIC, said Friday it has yet to decide on any further investment in Bank of America (BAC) shares.
KIC said in a statement it will decide later what to do with the dividends from its existing investment in Bank of America shares, after closely monitoring global economic and financial market conditions……………………………………….Full Article: Source

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Australia economy gap may worsen, Future Fund says

Posted on 26 September 2011 by VRS  |  Email |Print

Australia is likely to exacerbate the risks from a two-speed economy if it doesn’t cut its level of indebtedness to other countries, Future Fund Chairman David Murray said.
“This is not a time when state and federal governments should be becoming more highly indebted,” Murray, who oversees the government-owned entity controlling A$75 billion ($73 billion) of assets, said on the Australian Broadcasting Corp.’s “Inside Business” program………………………………………Full Article: Source

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New Libyan sovereign wealth fund chief seeks probes

Posted on 26 September 2011 by VRS  |  Email |Print

One of the first orders of business in post-Moammar Gadhafi Libya is to clean out the rotten wood.
Tops on that list is investigating corruption at the Libyan Investment Authority, the country’s sovereign wealth fund. Rafik Nayed, the fund’s acting chief executive, said in an interview with the Wall Street Journal that its investment operations are on hold while it looks through $65 billion in holdings to examine dealings with people tied to Gadhafi……………………………………….Full Article: Source

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Gaddafi-era investments under lens

Posted on 26 September 2011 by VRS  |  Email |Print

The new leader of Libya’s sovereign-wealth fund said he has recommended that an independent committee investigate all past investments made during the regime of Muammar Gaddafi for possible corruption.
In an interview, Rafik Nayed, the Libyan Investment Authority’s acting chief executive, said the fund’s investment operations are on hold while a new management team sifts through $65 billion (Dh238 billion) in holdings and tries to unravel previous dealings with people tied to the ousted Libyan leader……………………………………….Full Article: Source

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FG dares governors over SWF

Posted on 26 September 2011 by VRS  |  Email |Print

Despite the stiff opposition from the 36 state governors over the propriety of the Sovereign Wealth Fund (SWF), the federal government would not reverse itself on the issue, as it is presently finalising the fund’s implementation framework which will be launched very soon.
This was disclosed by the coordinating minister for the economy and minister of finance, Dr. Ngozi Okonjo-Iweala, at the weekend during a briefing with Nigerian journalists during the just concluded Annual Meetings of the World Bank and International Monetary Fund (IMF) in Washington, DC……………………………………….Full Article: Source

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Qatar investment spree is double-edged sword

Posted on 26 September 2011 by VRS  |  Email |Print

The flood of cash into the kingdom has enabled Qatar Investment Authority (QIA), the country’s sovereign wealth fund, as well as the country’s private sector investors, to snap up assets in Europe, principally Britain.
But the speed of the acquisitions and the lack of information on how the fund operates and where its assets are invested have raised concerns……………………………………….Full Article: Source

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Alaska state fund owns half a shopping mall

Posted on 26 September 2011 by VRS  |  Email |Print

The Alaska Permanent Fund, the state’s sovereign wealth fund, owns half of Tysons Corner Center, just one piece of a $38 billion portfolio amassed in the four decades since the state’s coffers started overflowing with oil revenue.
In 1969, Alaska received a $903 million check from the first sale for oil- and gas-drilling leases on the North Slope. The check was more than five times the size of the state’s annual budget……………………………………….Full Article: Source

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SWFs – the Chilean model

Posted on 26 September 2011 by VRS  |  Email |Print

Sovereign wealth funds are more fashionable than ever. In Latin America, some countries – Chile, Trinidad and Tobago and Venezuela – have had theirs for some time. Brazil – with reserves of over $250bn – joined them last year.
In 2011 Peru, Colombia, Panama and Bolivia took moves towards creating their own……………………………………….Full Article: Source

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S.Korea wealth fund to raise stake in BofA

Posted on 23 September 2011 by VRS  |  Email |Print

Choi Chong-sukSouth Korea’s sovereign wealth fund plans to increase its stake in Bank of America , a media report said on Friday. “We are trying to purchase additional shares with the dividend (we received from our existing stake),” Yonhap News Agency quoted Korea Investment Corp (KIC) CEO Choi Chong-suk as saying.
His remarks on the share purchase in the largest U.S. bank by assets came after the fund said it already re-invested $78 million this year, about half the dividend from its $2 billion investment……………………………………….Full Article: Source

Korea Investment Corp to buy more Bank of America shares - Reports

Posted on 23 September 2011 by VRS  |  Email |Print

South Korea’s sovereign wealth fund plans to buy more Bank of America (BAC) shares, several local media reported Friday, citing its chief executive Choi Chong-suk.
“The (Bank of America) shares seem to have hit the bottom. I’m sure they will rise, though it may take some time,” Choi told reporters in Washington, adding that KIC will hold a meeting Wednesday to make the final investment decision………………………………………Full Article: Source

KIC says no decision on BofA dividend

Posted on 23 September 2011 by VRS  |  Email |Print

South Korea’s sovereign wealth fund said on Friday that it has made no decision yet on where to put dividend income from a stake in Bank of America Corp , dismissing a local report that the fund planned to increase its equity holding in the U.S. bank.
“We will decide the direction of our investment after closely monitoring the global economy and financial markets,” Korea Investment Corp said in a statement……………………………………….Full Article: Source

Khazanah postpones dim sum Sukuk amid market rout

Posted on 23 September 2011 by VRS  |  Email |Print

Malaysian state investment agency Khazanah Nasional yesterday evening decided to postpone its debut dim sum sukuk as financial markets suffered from a severe bout of volatility.
The deal was supposed to be a landmark transaction for Khazanah, which is keen to promote Islamic financing in the offshore renminbi space. But, despite its blue-chip status, the market volatility proved to be too much and the leads — BOC International, CIMB and Royal Bank of Scotland (RBS) — decided that the most prudent decision would be to hold off……………………………………….Full Article: Source

Malaysia delays issue in offshore yuan bond market

Posted on 23 September 2011 by VRS  |  Email |Print

The Malaysian government’s investment holding arm Khazanah Nasional Bhd., which is looking to issue as much as $78.3 million in yuan-denominated Islamic trust certificates, or sukuk, postpone the pricing of the bond due to volatile market conditions, people familiar with the situation said Thursday.
The news came as yields on long-dated Japanese government bonds fell to multi-month lows in Tokyo, weighed down by similar falls in Treasury yields after the Federal Reserve’s policy-setting Open Market Committee announced the previous day it will increase its share of longer-dated Treasurys by $400 billion by June 2012……………………………………….Full Article: Source

GIC manages its investment portfolio for the long term

Posted on 23 September 2011 by VRS  |  Email |Print

GIC manages the Government’s assets. We have publicly stated that it manages well over US$100 billion of assets. However, revealing the exact amount would, taken together with the published assets of MAS and Temasek, expose the full size of Singapore’s financial reserves.
Temasek manages its own assets and publishes their full value together with other details on its financial statements. It obtains credit ratings and issues bonds to other investors on the basis of this………………………………………Full Article: Source

Singapore’s GIC concerned with UBS trading loss

Posted on 23 September 2011 by VRS  |  Email |Print

A Singapore state investment fund that is the biggest UBS shareholder says it is disappointed and concerned with lapses at the Swiss bank that led to a $2.3 billion rogue trading loss.
The statement from the Government of Singapore Investment Corp. comes as the UBS board holds a scheduled meeting in the Southeast Asian city-state……………………………………….Full Article: Source

Kremlin Private Equity Fund talking with China on investment

Posted on 23 September 2011 by VRS  |  Email |Print

The Russian private-equity unit being set up by President Dmitry Medvedev is in talks with a Chinese group about making joint investments, as the nation seeks to reverse an outflow of foreign capital.
Details of the partnership may be announced in October, Kirill Dmitriev, head of the Russia Direct Investment Fund, said in an interview today at Bloomberg’s headquarters in New York. The new joint fund would co-invest in deals “that benefit from the Russia-China relationship and Russia-China trade,” he said, declining to provide details……………………………………….Full Article: Source

Treasury’s forex phobia causes policy paralysis

Posted on 23 September 2011 by VRS  |  Email |Print

Almost three decades after Paul Keating floated the Australian dollar, could it really be possible that Treasury economists are afraid of foreign currency?
This is one conclusion to be drawn from Treasury head Martin Parkinson’s comment this week that the federal government should wait until its debt is repaid before setting up foreign currency sovereign wealth funds to save windfall revenue from the mining boom. And a second conclusion is that Treasury won’t be trying to hasten the government’s repaying of debt by pressing for bigger surpluses……………………………………….Full Article: Source

Libya’s sovereign fund seeks investment probe

Posted on 23 September 2011 by VRS  |  Email |Print

The new leader of Libya’s sovereign-wealth fund said he has recommended that an independent committee investigate all past investments made during the regime of Col. Moammar Gadhafi for possible corruption.
In an interview, Rafik Nayed, the Libyan Investment Authority’s acting chief executive since last month, said the fund’s investment operations are on hold while a new management team sifts through $65 billion in holdings and tries to unravel previous dealings with people tied to Col. Gadhafi, the former Libyan leader ousted in a rebel uprising this year……………………………………….Full Article: Source

BNP Paribas denies talks with Qatar on investment

Posted on 23 September 2011 by VRS  |  Email |Print

France’s largest bank by market capitalization, BNP Paribas SA, isn’t in talks with investors from Qatar about a potential stake sale, Chief Executive Baudouin Prot said Thursday in an interview with French television channel BFM Business.
“I formally deny it. We do not have any particular contact [with potential investors] because we do not need to increase our capital,” he said……………………………………….Full Article: Source

Azerbaijan’s strategic currency reserves top $40bln

Posted on 23 September 2011 by VRS  |  Email |Print

Azerbaijan is enjoying macroeconomic stability with increasing strategic currency reserves, Economic Development Minister Shahin Mustafayev has said.
“On 1 September, Azerbaijan’s strategic currency reserves exceeded $40 billion, which is eight times larger than the republic’s foreign debt. Azerbaijan’s foreign debt at present constitutes 7% of the country’s GDP,” the minister said……………………………………….Full Article: Source

Will the lost generation in America impact sovereign wealth asset allocation?

Posted on 23 September 2011 by VRS  |  Email |Print

Sovereign wealth funds are typically long-term investors; they can wait out financial storms and purchase assets when it is most opportunistic. Sovereign funds have been actively investing in the United States for decades, recently more in the past seven years.
The slowdown in the U.S. economy has reinforced the message to sovereign funds to look elsewhere and diversify. Economies with high growth rates, low unemployment, favorable ownership rights, and sustainable demographics usually correlate to robust GDP growth and low political risk. The message in 2000 was to diversify globally. The message remains the same……………………………………….Full Article: Source

Chinese sovereign wealth funds should dump US stocks, report says

Posted on 22 September 2011 by VRS  |  Email |Print

Chinese sovereign funds such as Safe Investment Company and CIC should consider dumping and even shorting US retail stocks during US economic downturns, if they want to adopt an integrated asset and liability management process when making investment decisions, according to a new paper by the Edhec-Risk Institute
The Edhec-Risk Institute in Singapore has recommended that Chinese sovereign entities hold no exposure to the stocks of US retail companies or that they short such stocks to hedge against appreciation of the renminbi as well as hedging a fall in US consumer demand……………………………………….Full Article: Source

Chinese fund may help Branson finance bid for Northern Rock

Posted on 22 September 2011 by VRS  |  Email |Print

Chinese Investment Corporation, a $200-billion state-owned sovereign fund, is said to be in talks with Richard Branson’s Virgin Money to partly bankroll the UK financial institution’s bid to acquire Northern Rock, a British bank taken over by the government there in 2008.
If the deal between CIC and Virgin Money is agreed, it will be the first major investment from China in the British banking sector. CIC will also be joining a group of investors — they include US private equity firms Carlyle and General Atlantic Partners and the Universities Superannuation Scheme, Britain’s second-biggest pension fund — which have agreed to part-fund Virgin Money’s retail banking expansion in the UK……………………………………….Full Article: Source

Singapore’s GIC hits out at UBS lapses

Posted on 22 September 2011 by VRS  |  Email |Print

The Government of Singapore Investment Corporation (GIC), the largest shareholder of Swiss bank UBS, has expressed “disappointment” to the bank’s board over the lapses relating to the recent 2.3 billion U.S. dollars loss from unauthorized trading.
Local daily the Business Times said in a report on Wednesday that the senior management of UBS, including chief executive officer Oswald Gruebel, met with representatives of GIC on Tuesday……………………………………….Full Article: Source

UBS board meets in Singapore amid trading scandal

Posted on 22 September 2011 by VRS  |  Email |Print

Swiss banking giant UBS began a meeting of its board in Singapore on Wednesday as it faces increasing pressure from shareholders after being hit by a $2.3 billion rogue-trading scandal. On the eve of the meeting the Government of Singapore Investment Corp (GIC), UBS’ biggest shareholder, issued a rare public rebuke of the bank for lapses that led to the losses.
“GIC expressed disappointment and concern at the lapses and urged UBS to take firm action to restore confidence in the bank,” the cash-rich sovereign wealth fund said in a statement Tuesday. “GIC sought details of how UBS is tightening the control environment and looks forward to the conclusions of on-going investigations.”………………………………………Full Article: Source

Siam Cement buys Temasek stake in Chandra Asri

Posted on 22 September 2011 by VRS  |  Email |Print

A unit of Singapore’s state investment arm, Temasek Holdings, has sold its 23 per cent stake in Indonesian petrochemical maker Chandra Asri Petrochemical to Thailand’s largest industrial conglomerate for about $318m, another sign of the race for petrochem assets in the region.
Siam Cement, through its wholly-owned unit SCG Chemicals, will buy the 23 per cent stake held by Apleton Investments, as well as an additional 7 per cent, valued at $99m, from Barito Pacific, the majority shareholder in Chandra Asri. The deal is expected to be completed by the end of the month……………………………………….Full Article: Source

Qatar’s Al Faisal behind $313mln London hotel deal

Posted on 22 September 2011 by VRS  |  Email |Print

Al Faisal Holding Company, one of Qatar’s largest conglomerates, said on Wednesday it was behind the purchase of a top London hotel.The deal marks the latest in a series of investments in British assets by Qatari buyers. The Gulf state’s wealth fund counts luxury London department store Harrods and stakes in Barclays, retailer J Sainsbury’s and the London Stock Exchange among its investments.
Qatari Diar, Qatar Investment Authority’s property arm, in August announced it had won a bid to buy London’s Olympic Village in a £557m in a joint deal with the UK developer Delancey……………………………………….Full Article: Source

Norwegian Central Bank acquires stake in Bank Of Cyprus

Posted on 22 September 2011 by VRS  |  Email |Print

Norges Bank Investment Management (NBIM), a fund controlled by the Central Bank of Norway, is the buyer of several share packages of Bank of Cyprus that have been transferring since last Thursday, according to reliable information.
The same sources note that NBIM has acquired a stake of 1.1% of the bank. The Central Bank of Norway had proceeded with the establishment of asset management sector in order to manage assets of government pension funds and foreign exchange reserves……………………………………….Full Article: Source

Backstage at the Alaska Permanent Fund Corporation

Posted on 22 September 2011 by VRS  |  Email |Print

The hallways of the Alaska Permanent Fund Corporation’s (APFC) office are lined with framed photographs of the fund’s real estate holdings across the country - Tysons Corner Center in Virginia, North Bridge in Chicago, Independence Plaza in Denver. In executive director Michael Burn’s office, wall clocks are set to New York time, London time, Tokyo time and Alaska time.
When Wall Street opens, the fund’s portfolio managers are at their desks, six different computer screens up and running. At the heart of the building, backup upon backup in the server room keeps operations alive no matter what happens outside……………………………………….Full Article: Source

Australia: Call for states to set up wealth funds

Posted on 21 September 2011 by VRS  |  Email |Print

David MurrayThe head of the Future Fund has joined the mining tax and infrastructure debates by suggesting that state governments use mining royalties to set up their own sovereign wealth funds. David Murray said goods and services tax distribution methods discouraged states from putting royalties into a long-term savings fund and setting aside the money for infrastructure projects.
”The states own the minerals under the surface. They do levy royalties and the Commonwealth doesn’t, so [the states] are entitled to decide how they reimburse their own people in each state for the loss of that resource,” he said………………………………………Full Article: Source

States should control wealth

Posted on 21 September 2011 by VRS  |  Email |Print

The head of the federal government’s Future Fund has called on the states, as owners of the nation’s mineral reserves, to empower themselves to set up sovereign wealth funds using their own mining royalties.
Fund chairman David Murray also flagged the potential to use the Future Fund as a sovereign wealth fund that could stabilise future federal budgets……………………………………….Full Article: Source

Future Fund could have a budget role

Posted on 21 September 2011 by VRS  |  Email |Print

‎Future Fund chairman David Murray says the federal government could use money from the fund to stabilise the budget, if the rules governing the fund are changed.
Murray said the way that the Future Fund was formulated made it a long-term fund only. The fund was set up to fund $140 billion of uncovered superannuation liabilities by 2020……………………………………….Full Article: Source

Temasek unit sells entire Chandra stake to Siam Cement

Posted on 21 September 2011 by VRS  |  Email |Print

A unit of Singapore’s Temasek Holdings yesterday agreed to sell its 22.9-per-cent stake in an Indonesian petrochemical maker for about US$318 million (S$403.4 million) to Thailand’s largest industrial conglomerate, Siam Cement.
In a statement, Siam Cement said it will buy a 22.9-per-cent stake in Indonesia’s PT Chandra Asri Petrochemical from Apleton Investments and another 7.1-per-cent stake valued at about US$99 million from PT Barito Pacific……………………………………….Full Article: Source

Singapore GIC disappointed with UBS rogue trading loss

Posted on 21 September 2011 by VRS  |  Email |Print

In a rare public reprimand by Government of Singapore Investment Corp., the Singapore sovereign wealth funds said Tuesday it was disappointed with Swiss bank UBS AG’s trading lapses, which resulted in US$2.3 billion of losses.
GIC, the Swiss bank’s largest shareholder with a 6.6% stake, said it met the senior management and UBS Group Chief Executive Oswald Gruebel Tuesday. GIC acquired a 9% stake in the Swiss bank for about 11 billion Swiss francs ($12.40 billion) through the purchase of two-year convertible bonds in 2007, which was subsequently reduced to its current level after the bonds were converted into equity early last year……………………………………….Full Article: Source

Greater transparency for petrol fund

Posted on 21 September 2011 by VRS  |  Email |Print

All petroleum stabilisation fund activities will be published to ensure transparency in managing petroleum prices according to market mechanisms, Minister of Finance Vuong Dinh Hue has said.
“The country will pursue this policy with the participation of State management to reach macroeconomics targets, curbing inflation and ensuring social security,” Hue said……………………………………….Full Article: Source

CIC seeks to acquire Aussie turnpike

Posted on 21 September 2011 by VRS  |  Email |Print

Horizon Roads, a consortium of global institutional investors, plans to take a stake in a Melbourne toll road as its developer exits the project. Korea’s National Pension Service (NPS) and China Investment Corporation (CIC) are among a consortium of global institutional investors reportedly acquiring a $2.4 billion stake in an Australian toll road.
The consortium, named Horizon Roads, plans to invest in Eastlink, a highway that runs through the eastern suburbs of Melbourne……………………………………….Full Article: Source

Russia’s private equity support fund names intl advisers

Posted on 21 September 2011 by VRS  |  Email |Print

The Russian Direct Investment Fund (RDIF), a sovereign institution for promoting foreign investment in Russia’s barren private equity sector, has put together an international advisory board, appointing to it company chiefs and sovereign wealth top brass from various countries.
The board’s nine members, who will work on a pro bono basis, include top figures in private equity firms Permira, TPG, Apollo Global Management, Apax Partners, Warburg Pincus and Blackstone Group……………………………………….Full Article: Source

Qatar risks biting off more investments than it can chew

Posted on 21 September 2011 by VRS  |  Email |Print

The Qatar Investment Authority holds an estimated $60 to $100 billion in assets. On top of that, the country reckons its foreign reserves for the year will total around $20 billion. But that pales in size in absolute terms against the sovereign funds of Abu Dhabi and China which are each several times bigger.
Assuming estimates of the QIA’s size are about right, at least 20 percent of Qatar’s assets are spread across a handful of purchases made over the last two years alone……………………………………….Full Article: Source

Nigeria: Governors, Aganga and sovereign wealth fund

Posted on 21 September 2011 by VRS  |  Email |Print

The recent gesture from the state Governors’ Forum that they will agree to the demand of N18, 000 minimum wage only when the Federal Government agrees to suspend her Sovereign Wealth Fund (SWF) is another pointer to the complicated nature of our public policy formulation process.
What that is showing is that no matter the merits of the SWF, in as much as the Federal Government insists on the N18, 000 minimum wage, it should be shelved. Nigerian governors have a history of using any opportunity to demand for what ever they thought is their rightful allocation, which they later on spend on not necessarily important projects……………………………………….Full Article: Source

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