|German auto giant Daimler AG's Mercedes Benz plant in Untertuerkheim, Germany. Media reports said last week that China Investment Corp plans to buy a 4 to 10 percent stake in the German automaker. [Provided to China Daily]|
China Investment Corp, or CIC, is to balance out its portfolio this year, as a China-led global recovery mitigates risks, said CIC Chairman Lou Jiwei on Monday.
The nation's sovereign wealth fund wants to stick closely to its investment guidelines after it "under-bought" in Europe and "over-bought" in the United States and emerging markets in 2012 in response to global economic uncertainties.
"Our view is that 2013 will see a slow recovery ... but there won't be bright highlights, so we have decided to go back to having balance," said Lou at the annual Asia Financial Forum in Hong Kong.
Lou said the CIC will invest more in manufacturing, real estate and infrastructure. In a display of CIC's new interest in manufacturers, media reports last week said that it plans to buy a 4 to 10 percent stake in the German automaker Daimler AG. It has also bid for an 800 million pound ($1.3 billion) London office complex, in what could be the United Kingdom's highest-value property deal since the start of the financial crisis.
Positions on the financial services industry and commodities will be discussed.
CIC was established in 2007 by the Ministry of Finance, which issued 1.55 trillion yuan in special bonds to acquire around $200 billion of the country's foreign exchange reserves and form CIC's capital.
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