Wed, Oct 22, 2014
A A A
Welcome sandeep.kottawar@wns.com
RSS
Sovereign Wealth Funds Briefing 14.Aug 2014

Posted on 14 August 2014 by VRS |  Email |Print

Norway Finance Minister Siv Jensen has said that a probe into the world’s biggest sovereign wealth fund’s purchase of Formula One shares shouldn’t be used as an excuse to tighten oversight of the investor. “We do have control mechanisms to oversee that everything is done in a proper manner - the control board is doing their job,” Ms Jensen said. “Governing of the bank and of the fund has served us very well.”
The US$890 billion fund, which is managed by the central bank, had to defend itself earlier this year after lawmakers asked if it had exceeded its investment remit when it bought a stake in the car racing group ahead of a planned initial public offering………………………………………..Full Article: Source

Posted on 14 August 2014 by VRS |  Email |Print

Asset managers shouldn’t expect ‘easy money’ from China Investment Corp., even though the world’s fourth largest sovereign wealth fund last week reported a rise in net profit and a healthy increase in its top-line assets that grew to $652 billion in 2013 from $575 billion.
The giant sovereign wealth fund, which owns private equity firm Citic Capital, said its net profit increased to $86.9 million in 2013 from $77.7 billion a year before; it also reported a 9.3% return on its overseas investments in 2013, a decline from 10.6% in 2012. But China-based consulting firm Z-Ben Advisors cautions that the general “good news…may not be felt by asset managers attempting to win their mandates.”……………………………………….Full Article: Source

Posted on 14 August 2014 by VRS |  Email |Print

Money managers hoping to win a coveted contract to manage a slice of China’s sovereign wealth have their work cut out for them. China Investment Corp., one of the largest sovereign wealth funds in the world with about $600 billion under management, on Friday reported a 9.3% return on its overseas investments in 2013, compared with a 10.6% return in 2012.
Consulting firm Z-Ben Advisors has drilled into the report and found some depressing news for money managers: the fees CIC is paying for its money to be managed are “astonishingly low.”……………………………………….Full Article: Source

Posted on 14 August 2014 by VRS |  Email |Print

Macau has been urged to create a sovereign wealth fund (SWF) and invest the billions in profits made from its engorged gambling industry. The International Monetary Fund (IMF) said the explosion of the betting tourism in the Special Administrative Region (SAR) since 2001 meant its government had received huge revenues over the last decade.
“To ensure that public finances remain on a sound footing as the gaming sector matures and the population ages, they recommended the adoption of a medium-term budget framework,” an IMF report on the region said………………………………………..Full Article: Source

Posted on 14 August 2014 by VRS |  Email |Print

The Minority Shareholder Watchdog Group (MSWG) has supported Malaysia Airlines’ (MAS) proposed privatisation by Khazanah Nasional Bhd, describing it as a reasonable option for minority shareholders to take their investment out of the ailing national carrier.
MSWG also hopes that those responsible for MAS’ poor financial performance will be made accountable, said its chief executive officer Rita Benoy Bushon. She said Khazanah’s offer price of 27 sen a share to acquire all MAS’ shares is a 12.5 per cent premium over its pre-suspension price of 24 sen last Thursday………………………………………..Full Article: Source

Posted on 14 August 2014 by VRS |  Email |Print

Khazanah Nasional Bhd should be given the benefit of engineering the rescue of Malaysia Airlines (MAS), says MIDF Research head Zulkifli Hamzah. He said the delisting of MAS will accord Khazanah greater manoeuvrability to restructure the company and ensure its long-term viability.
Zulkifli also does not expect MAS to be declared bankrupt because of Khazanah’s strong backing. “This has not been attempted before. Thus, the government should be given the benefit of engineering the rescue of MAS, away from the prying eyes of the public, which can be distracting at times………………………………………..Full Article: Source

Posted on 14 August 2014 by VRS |  Email |Print

There are some concerns as to whether Sovereign Wealth Funds (SWFs) will become activist shareholders because of an equivocation of the term “activist”, notes Harvard Law School Forum. June Rhee, Co-editor of HLS Forum on Corporate Governance and Financial Regulation in the recent post dated August 7, 2014 titled: “Sovereign Shareholder Activism: How SWFs Can Engage in Corporate Governance” notes activism is linked to the increasing importance of corporate governance.
The author notes with respect to equity investments in publicly traded firms, there are some concerns that Sovereign Wealth Funds will become ‘activist’ shareholders. The author points out there are primarily two threshold issues that need to be addressed before one develops policy responses to sovereign shareholder activism………………………………………..Full Article: Source

See more articles in the archive

banner
October 2014
M T W T F S S
« Sep    
 12345
6789101112
13141516171819
20212223242526
2728293031