China Pension Fund Seeks Foreign Investments
Chairman of $316.6 billion fund cites diversification as motivation for overseas assets.
Chairman of $316.6 billion fund cites diversification as motivation for overseas assets.
Although the titanic pension fund is poised for 15% returns, geopolitical climate could create problems in Q4.
Average benefits surge to HK$154,000 in 2016 from HK$68,000 in 2006.
MSCI EM Index currently at 28.3% returns in 2017.
The oil sector gained with improving demand, although expectations for OPEC’s prospects of bringing down global production were reduced.
One-fifth of global investors intend to increase their allocation to private equity in emerging markets in 2017.
Emerging markets, activists funds post strong gains, while managed futures and large funds struggled.
Money going into Chinese pensions is up nearly 24% from last year.
Country placed on watch list based on the progress of its recent stock market reforms.
The 222 large-cap stocks being included in emerging market ETF are largely part of the old Chinese economy.
China, some US cities could face glut due to aggressive development.
Economist also notes that US rate rise likely to be slow based on high levels of debt.
Hywin Capital Management is targeting 8% to 15% annual returns.
World Economic Forum warns of “imperiling the incomes of future generations.”