Why was CIC established?Learn More
CIC was established as a vehicle to diversify China's foreign exchange holdings and seek maximum returns for its shareholder within acceptable risk tolerance.
Where did CIC's original registered capital come from?Learn More
CIC was initially capitalized with $200 billion in reserves purchased from the People's Bank of China in exchange for RMB1,550 billion in sovereign bonds issued by the Ministry of Finance. The state has injected a total of $49 billion into China Investment Corporation International Co., Ltd. (CIC International), a wholly owned subsidiary of CIC.
What CIC does?Learn More
CIC has three subsidiaries, CIC International Co., Ltd. (CIC International), CIC Capital Corporation (CIC Capital) and Central Huijin Investment Ltd. (Central Huijin).
The overseas investment and management activities of CIC are undertaken by CIC International and CIC Capital. Both CIC International and CIC Capital are market-oriented commercial entities with a specialized mandate and global reach.
CIC International was established in September 2011, with a mandate to invest and manage overseas assets. It took over the entire portfolio and mandate for overseas investment from CIC. CIC International conducts public market equity and bond investments, hedge fund, multi-asset and real estate investments, private equity (including private credit) fund investments, co-investments, and minority investments as a financial investor.
CIC Capital was incorporated in January 2015 with a mandate to specialize in making direct investments to refine CIC's overall portfolio management and enhance investment on long-term assets.
Central Huijin makes equity investments in key state-owned financial institutions in China. Without interfering with the day-to-day operations of its investee institutions, Central Huijin exercises its shareholder rights and performs its obligations to the extent of its capital contribution, in order to preserve and enhance the value of state-owned financial assets.
Strict operational firewalls exist among CIC International, CIC Capital and Central Huijin.
What are CIC's overseas investment principles?Learn More
The principles that underlie CIC's investment activities are: CIC invests on a commercial basis and the objective is to seek maximum returns within acceptable risk tolerance. CIC is a financial investor and does not seek control of the companies in its portfolio. CIC is a responsible investor, abiding by the laws and regulations of China and recipient countries and conscientiously fulfilling corporate social responsibilities. CIC pursues investments based on in-depth research guided by the asset allocation framework to ensure a prudent and disciplined investment decision-making process.
How does CIC structure its overseas investment portfolio?Learn More
CIC invests in a wide range of financial products globally, including public equity, fixed income, alternative investments and cash and others. Public equity refers to equity investment in listed companies. Fixed income refers to bonds, including sovereign, corporate, and agency bonds. Alternatives investments include hedge funds, risk parity investments, industry-wide direct investments, industry-wide private equity, private credit, resources/commodities, real estate and infrastructure. Cash and others includes cash, overnight deposits, and US Treasury bills.
What is CIC's investment decision-making process?Learn More
Since its inception, CIC has established a scientific, disciplined, and effective decision-making framework. The Investment Committee of CIC International (the Investment Committee) and the Investment and Management Committee of CIC Capital (the Investment and Management Committee) make investment decisions separately. In addition, to enhance the efficiency and quality of investment decision-making and to clarify project management responsibilities, investment authorization plans are formulated to grant discretionary authority to investment teams.
Formulating investment policies, strategies, and performance and risk targets in line with the guidelines defined by the Board of Directors and the Executive Committee, the Investment Committee and the Investment and Management Committee also formulate their own investment policies and processes, regularly hold meetings (ad hoc sessions when necessary) to review investment proposals and make their decisions, which are implemented by related senior executives and investment departments and teams.
How does CIC evaluate and manage investment risks?Learn More
The objective of risk management is to put in place effective policies, mechanisms, systems, and processes for investment and operations to maximize the returns for the shareholder within an acceptable risk tolerance.
Risk management is a company-wide effort involving every business line, department, and individual. It is embedded throughout the investment life cycle, from the overall portfolio to general asset classes and to specific investment strategies and sub-strategies.
CIC has a comprehensive risk classification and management system involving the Executive Committee, Risk Management Committee, and relevant departments to manage all kinds of risks: market, credit, operational, liquidity, strategy, legal, reputational, and country risks.
CIC's comprehensive risk management system is built on the following pillars: a three-layer system featuring basic procedures and management approaches designated according to different types of risks and risk management guidelines; a three-tiered system namely company-wide, inter-department, and intra-department; three lines of defense consisting of investment departments, the Department of Risk Management with the Department of Law and Compliance and the Department of Public Relations and International Cooperation, and the Department of Internal Audit and the Department of Institutional Integrity.
How does CIC evaluate investment performance?Learn More
In January 2011, CIC's Board of Directors decided to extend the investment horizon of overseas assets to 10 years and begin to adopt cumulative annualized return as an important indicator for performance evaluation and attribution.
Does CIC have overseas branches?Learn More
CIC has two overseas branches—China Investment Corporation International (Hong Kong) Co., Ltd. and CIC Representative Office in New York.
How is CIC's global outreach?Learn More
As a charter member of the IFSWF, CIC has implemented Generally Accepted Principles and Practices — the Santiago Principles in good faith and actively participated in the IFSWF. CIC is committed to facilitating the wider acceptance of the Santiago Principles, engaging in investment and risk management cooperation among sovereign wealth funds, and contributing to the improvement of the global investment environment.
From the outset, CIC has fostered a high degree of transparency, a practice appreciated by recipient countries or regions and business partners. Through its official website, annual reports, spokesperson, press releases, and other channels, CIC discloses key operational and management information on corporate governance, investment strategies and philosophies, major investment activities, executive personnel changes, investment performance, and so on.
What is in CIC's annual report? When is the report released?Learn More
CIC has released five annual reports since 2009. These reports contain information on CIC's corporate overview, culture and core values, governance, investment and risk management, human resources, global outreach and financial statements. CIC releases its annual report in late July each year.
How can I join CIC? Does CIC provide career opportunities for foreign citizens?Learn More
As a global investment institution, CIC encourages individual career advancement. CIC welcomes talent with diverse cultural backgrounds from all over the world to bring wisdom, passion and creativity to the firm. In return, CIC provides challenging career opportunities in different regions. CIC provides equal opportunities for all applicants, regardless of nationality. .