Proposed new rules for China’s state pension fund point to more flexibility over what it can invest in when it comes to foreign and private equity assets.
Party secretary Dai Xianglong expects China's National Social Security Fund to more than quadruple assets by 2020. The market is forecasting it will outsource more to foreign firms.
In a bid to boost returns, China's national pensions body is ramping up domestic PE investment, with nearly $5 billion to be allocated this year.
The chairman of China's National Council for Social Security Fund says the government's holdings in state-owned enterprises are too big, and he offers a solution.
Dai Xianglong tells a forum the social security fund will raise its private equity investment heavily over the next three years after PE accounted for 70% of its total return in 2011.
The country's largest pension fund plans to raise its exposure to foreign investments, private equity and social-security housing, backed by its $1 trillion-and-growing cash pile.