, Columnist
China’s $1 Trillion Sovereign Wealth Fund Has Gone Quiet
CIC has been noticeably absent from big-ticket deal-making since 2017. Its new chairman won’t help matters.
Uphill battle.
Photographer: Justin Chin/Bloomberg
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China’s sovereign wealth fund was set up in 2007 to much fanfare. It was supposed to be a vehicle that helped invest the country’s massive pile of foreign-exchange reserves abroad through big-ticket deals.
For about a decade, it did just that. At the height of the financial crisis, China Investment Corp. sank $5.6 billion into Morgan Stanley to steady the struggling bank, a stake that eventually rose to 10 percent. The fund tried to emulate Singapore’s GIC Pte, which was known for its ambitious investments overseas.