China’s $653 billion sovereign wealth fund, China Investment Corp. has set up CIC Capital, which will operate on a commercial basis and focusing on investment opportunities in areas including agriculture and infrastructure. The new unit will work with Chinese companies looking for overseas investment opportunities, and will integrate the CIC existing direct investments increasing the fund’s efficiency. Returns for its overseas portfolio fell last year amid difficult global economic conditions, during which time it ‘fine tuned’ its investments, slightly boosting equities while reducing government bonds. CIC has not yet released its report for 2014 as the numbers have not been finalized, but in 2013 it posted a 9.33% return on its overseas investments.
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