Shotgunner51
RETIRED INTL MOD
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@Saif al-Arab This is the thread I am talking about bro.
GCC has good experience in building/operating SWF, welcome to share. In East Asia, only Singapore has such experience and successful track record. Hong Kong has a fund under HKMA, while other financial powerhouses (China Mainland, Japan, SK, Taiwan) mostly just sit on FX reserves, heavily loaded with US T-bills.
China Mainland began exploring SWF since 1997, progressively, but in small steps with great care. Total SWF is only $1.53 trillion as of now, still small compared to FX reserves. Constructing SWF is not just a technical issue but it may have geopolitical complications on a global scale. Note, the GCC has been instrumental in shaping the existing world order, i.e. Petro-Dollar. So as Japan, the #1 creditor nation, has been top holder of US T-Bills until recent years.
By now China still carries US$3.77 trillion in FX reserves, heavy up on US T-Bills, directly and through Belgium, the direction to go is yet to be determined. Building oil reserves, US T-Bills, SWF, RMB internationalisation, are all uncertainties. Whatever the direction is, KSA + China, or GCC + East Asia, would be meaningful force in shaping future world order, let's explore together my friend!
GCC has good experience in building/operating SWF, welcome to share. In East Asia, only Singapore has such experience and successful track record. Hong Kong has a fund under HKMA, while other financial powerhouses (China Mainland, Japan, SK, Taiwan) mostly just sit on FX reserves, heavily loaded with US T-bills.
China Mainland began exploring SWF since 1997, progressively, but in small steps with great care. Total SWF is only $1.53 trillion as of now, still small compared to FX reserves. Constructing SWF is not just a technical issue but it may have geopolitical complications on a global scale. Note, the GCC has been instrumental in shaping the existing world order, i.e. Petro-Dollar. So as Japan, the #1 creditor nation, has been top holder of US T-Bills until recent years.
By now China still carries US$3.77 trillion in FX reserves, heavy up on US T-Bills, directly and through Belgium, the direction to go is yet to be determined. Building oil reserves, US T-Bills, SWF, RMB internationalisation, are all uncertainties. Whatever the direction is, KSA + China, or GCC + East Asia, would be meaningful force in shaping future world order, let's explore together my friend!
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