In early 2007, China's State Administration of Foreign Exchange made large bets on global equities, a diversification push that has cost the country billions of dollars of its foreign-exchange reserves. "SAFE has built up one of the largest US equity portfolios of any foreign government entity investing abroad, including the major sovereign-wealth funds," said Brad Setser, an economist at the Council on Foreign Relations. The exact figure has not been disclosed because SAFE discloses its holdings only to China's top leaders.

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