China welfare fund looks abroad
22 September 2006
China's national welfare fund may start investing overseas, Reuters reported. Top fund officials said Thursday that the fund, which has assets of US$29 billion invested in financial instruments like bank deposits, bonds and trust funds, may start looking at European markets as a potential destination. Overseas investments will include stocks and bonds, said Xiang Huaicheng, head of the National Social Security Fund, during a financial forum. The amount to be invested would depend on market conditions with no fixed quota. In June, state media quoted Xiang as saying the fund may invest between US$500-900 million outside the mainland by the end of the year, according to Reuters.
