China Plotting Hedge Fund Foray |
Date: Monday, June 22, 2009
Author: Christopher Glynn, Hedgefund.net
China is planning to get in on the hedge fund action.
China Investment Corp., responsible for managing the $200 billion
sovereign wealth fund for the country, might invest with Blackstone
Group, which has a hedge fund program.
A sovereign wealth fund is a state-owned investment fund. CIC launched
in 2007, and invested a chunk of itself in U.S. currency. CIC bought a
stake in Blackstone Group as well as a 10% piece of Wall Street firm
Morgan Stanley. Neither investment has profited the CIC.
The fund is expecting to make a $5 billion hedge fund allocation by year-end, according to one report.
The Wall Street Journal on Friday reported the CIC might invest up to $500 million with Blackstone Group
Reproduction in whole or in part without permission is prohibited.
