Bloomberg (gated) with the info that China’s Ministry of Finance proposes moving its stakes in 3 firms managing bad debts:
- China Cinda Asset Management Co., China Great Wall Asset Management
Co. and China Orient Asset Management Co
to Central Huijin Investment. The parent of Huijin is China Investment Corp. (CIC) will also assume the rights from the banking
regulator to nominate key executives of the asset managers as their
Bloomberg citing unnamed sources.
This, in effect, would transfer government ownership in the nation’s biggest bad-debt
managers to a unit of its sovereign wealth fund.
China Investment Corporation is a sovereign wealth fund that manages part of the People’s Republic of China’s foreign exchange reserves.