China’s US$575 billion sovereign wealth fund mismanaged various investments from 2008 to 2013, leading to unspecified losses, Reuters reported, citing a Wednesday announcement from China’s National Audit Office. According to the audit, some employees in China Investment Corp. (CIC) did not conduct adequate due diligence before investing in 12 overseas projects, and subsequently failed to track the performance of those investments. Additionally, several domestic CIC units, such as Central Huijin and China Jianyin Investment, were found to have irregularities in their businesses. Created in 2007, CIC is tasked with investing China’s US$3.95 trillion foreign exchange reserves.
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