05.08.2015 - China’s Sovereign Wealth Fund Seeking Alpha in Silk Road
China Investment Corporation (CIC), one of China’s four sovereign wealth funds, began overseas direct investment operations last Monday in the One Belt, One Road (OBOR) initiative. Caixin.com reported that CIC Capital, CIC’s overseas direct investment branch started in 2015, may have received $100 billion from a Ministry of Finance (MOF) bond issue in part for this purpose. CIC is seeking to profit from OBOR projects in line with its aim of maintaining a direct investment in a number of countries. China Investment Corporation’s investment in OBOR may encounter the returns it is looking for, as the sovereign wealth fund appears to have found its footing in a longer-term investment strategy after several years of mixed success. CIC has faced funding issues, with a sporadic source of funding coming from MOF bond issues, as well as major losses in 2008, having invested heavily in Morgan Stanley and Blackstone Group, which suffered greatly during the global financial crisis..............................................Full Article: Source
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