Core Insights - China Investment Corporation (CIC) reported total assets of $1.57 trillion by the end of 2024, with a ten-year annualized net return on foreign investments exceeding performance targets by 61 basis points [1] - The net assets of CIC reached $1.37 trillion by the end of 2024, with a ten-year annualized net return on foreign investments calculated in USD at 6.92% [1] - CIC has maintained its position as a long-term investor, optimizing asset allocation and portfolio management, resulting in consistent outperformance against long-term absolute return targets [1] Group 1 - By the end of 2024, CIC's total assets reached $1.57 trillion, with a ten-year annualized net return on foreign investments of 6.39% since inception [1] - The company has actively integrated into national development strategies, enhancing its ability to balance development and security while optimizing asset allocation [1] - Central Huijin, a subsidiary of CIC, has increased its holdings in exchange-traded funds (ETFs) to support stable capital market operations [1] Group 2 - As of the end of 2024, Central Huijin managed state-owned financial capital amounting to 6.87 trillion RMB, reflecting a growth of 6.44% since the beginning of the year [2] - CIC is focused on enhancing its autonomous investment capabilities and optimizing its asset allocation framework to effectively respond to significant fluctuations in international financial markets [2] - Preliminary statistics indicate that CIC's investment returns for the first half of 2025 are promising [2]

Core Insights - China Investment Corporation (CIC) reported total assets of $1.57 trillion by the end of 2024, with a ten-year annualized net return on foreign investments exceeding performance targets by 61 basis points [1] - The net assets of CIC reached $1.37 trillion by the end of 2024, with a ten-year annualized net return on foreign investments calculated in USD at 6.92% [1] - CIC has maintained its position as a long-term investor, optimizing asset allocation and portfolio management, resulting in consistent outperformance of long-term absolute return targets [1] - Central Huijin, a subsidiary of CIC, has increased its holdings in exchange-traded funds (ETFs) to support stable capital market operations [1] Investment Performance - CIC's cumulative annualized net return on foreign investments since its establishment is 6.39% when calculated in USD [1] - As of the end of 2024, Central Huijin managed state-owned financial capital amounting to 6.87 trillion RMB, reflecting a growth of 6.44% since the beginning of the year [2] - The company is enhancing its autonomous investment capabilities and optimizing its asset allocation framework to effectively respond to adverse impacts from international financial market volatility [2] - Preliminary statistics indicate that CIC's investment returns for the first half of 2025 are promising [2]

Group 1 - The global macroeconomic environment remains complex in the first half of this year, with preliminary statistics indicating that the investment returns of the China Investment Corporation (CIC) exceeded the board's assessment indicators for the first half of 2025 [1] Group 2 - Central Huijin Company, a subsidiary of CIC, will continue to play a stabilizing role in the capital market, adhering to a work guideline of seeking progress while maintaining stability in 2024 [2] - The company aims to enhance the governance effectiveness of state-owned financial capital and support the high-quality development of its controlled and participating institutions [2] - Central Huijin will optimize the entrusted management system of state-owned financial capital and explore innovative equity management tools to improve corporate governance and core competitiveness of its controlled institutions [2] - The company will strengthen risk prevention capabilities by establishing a comprehensive risk monitoring framework and enhancing risk warning mechanisms for its controlled institutions [2] - Since 2025, the equity relationships of seven institutions have been transferred to Central Huijin, which will exercise shareholder rights in accordance with investment ratios and company charters [2] Group 3 - Central Huijin has been a crucial strategic force in maintaining capital market stability, functioning similarly to a "stabilization fund" [3] - The company will continue to act as a stabilizer in the capital market to support smooth market operations in the future [3]

Core Viewpoint - The Ministry of Finance released the "2025 Mid-Year Report on China's Fiscal Policy Execution," highlighting a proactive fiscal policy aimed at stabilizing employment, businesses, markets, and expectations, while promoting economic recovery [1][3]. Fiscal Policy Execution - The fiscal operation in the first half of 2025 was stable, with good budget execution and a gradual recovery in tax revenue [3]. - The central government allocated 300 billion yuan for long-term special bonds to support consumption, alongside 7.279 billion yuan for service industry development, aimed at stimulating rural and county-level consumption [4]. Investment and Consumption - The fiscal policy coordinated efforts to boost consumption and expand investment, with 42.7% of the annual issuance of special bonds completed in the first half, which is 17.7 percentage points faster than the previous year [4]. - The Ministry of Finance has implemented measures to support effective investment, including the issuance of special bonds for infrastructure and housing projects [4]. Trade and Tariff Adjustments - The Ministry effectively utilized tariff adjustments, implementing temporary import tax rates lower than the most-favored-nation rates on 935 items since January 1, 2025, to enhance the synergy between domestic and international markets [5]. Fiscal Management Pilot Programs - The Ministry initiated fiscal management pilot programs in 12 provinces to improve fiscal resource allocation and budget management, with a focus on achieving breakthroughs in key areas over two years [7][6]. Future Fiscal Policy Directions - The report outlines six key areas for future fiscal policy, including: 1. Utilizing more proactive fiscal policies to stimulate consumption and support key sectors [10]. 2. Supporting employment stability and foreign trade through enhanced public services and training [11]. 3. Fostering new growth drivers by promoting innovation and upgrading manufacturing [11]. 4. Improving social welfare services, particularly for the elderly and children [11]. 5. Preventing and mitigating risks in key areas through debt management policies [11]. 6. Enhancing fiscal governance and reforming tax policies [11].

Core Viewpoint - Central Huijin's acquisition of shares in major asset management companies (AMCs) is expected to enhance the risk management capabilities of state-owned capital in China [1] Group 1: Share Transfer Details - In February, three major AMCs—China Orient, China Cinda Asset Management Co., and China Great Wall Asset Management Co.—announced that their controlling shareholder, the Ministry of Finance, plans to transfer all shares to Central Huijin without compensation [1] - After the transfer, Central Huijin will hold 58%, 71.55%, and 73.53% of the shares in China Cinda, China Orient, and China Great Wall, respectively [1] Group 2: Implications for Risk Management - Central Huijin will directly control three national AMCs, allowing for centralized market-oriented management of AMC operations [1] - This move is anticipated to improve the efficiency of state-owned financial capital allocation and enhance risk prevention capabilities [1]