CIC officially opens NY office

China’s $810bn sovereign wealth fund is eyeing US infrastructure projects and high-tech manufacturing investments.

China Investment Corporation, the country’s $810 billion sovereign wealth fund, has officially launched its representative office in New York on 19 May, according to a statement.

CIC established its New York office on 14 December 2015, moving its North American outpost from Toronto to New York to leverage the city’s strategic position as an international finance centre.

CIC’s team in the new office will be responsible for conducting research on the North American economy, financial markets and policies, as well as strengthening cooperation with the fund’s business partners, CIC said in statement.

Tu Guangshao, vice chairman and president of CIC, said in a speech at the opening ceremony that “setting up overseas branches is a strategic move for the fund to expand global outreach, deepen partnership, and improve investment capabilities”.

CIC’s New York office will be headed by chief representative Hong Zhang.

CIC actively invests in private equity both via funds and direct investments, with a 40 percent allocation to alternatives. In April this year, CIC acquired 90 percent of Nova Transportadora do Sudeste, a system of natural gas transmission assets in southeast Brazil, from state-owned firm Petrobras. CIC made the investment with Canada’s Brookfield Asset Management and other institutional investors,

In February, CIC together with Temasek Holdings, Silk Road Fund and Hopu Investment Management also launched the Hou An Innovation Fund which is targeting $800 million to invest in technology companies globally.