Please welcome Guoxin Asset Management to the world’s growing family of sovereign wealth funds. But don’t expect to read much more about it: GAM looks set to be exclusively domestic.
China’s state council has apparently approved the fund’s creation, says the Oxford SWF project. It will be owned by China’s SASAC and its purpose is to consolidate 128 state-owned enterprises to about 80 – oh, and make them profitable. The new fund is unlikely to have either mandate or budget to make international investments.
According to the SWF Institute, China has three funds already: CIC, established in 2007 and soon to handle about $550bn; NSSF, established in 2000 and handling about $150bn; and SAFE, established 1997 and handling about $350bn.
