Core Insights - Shenzhen Municipal Financial Office released a work plan to attract overseas sovereign funds to invest in strategic emerging industries and infrastructure from 2025 to 2027, comprising 10 policies and 24 measures [1][2] Group 1: Policy Framework - The work plan includes measures to establish a city-wide coordination mechanism and promote key institutions to set up in Shenzhen [2] - It emphasizes the need to promote high-value investment targets aligned with sovereign funds' preferences for long-term value and green technology [3] - The plan aims to enhance cross-border investment facilitation and optimize foreign direct investment (FDI) processes [3][4] Group 2: Investment Opportunities - The work plan encourages sovereign funds to invest in Shenzhen's infrastructure and real estate through various channels, including REITs and private equity funds [3] - It highlights the potential for collaboration between sovereign funds and Shenzhen's leading private enterprises in sectors like AI, renewable energy, and logistics [7] - The plan aims to leverage Shenzhen's advantages in the Guangdong-Hong Kong-Macao Greater Bay Area to attract more overseas capital [1][7] Group 3: Market Trends - Sovereign funds are increasingly focusing on China, with 62% of investments coming from the Middle East, amounting to nearly $10 billion in 2024 [5] - Temasek Holdings from Singapore allocates 18% of its portfolio to China, indicating strong interest in the Chinese market [5] - The work plan aligns with broader trends in Guangdong province, which has also introduced measures to attract sovereign funds for strategic investments [4]