🌏 Did you know? Sovereign wealth funds from the Middle East are ramping up their bets on Chinese mainland A-shares! According to Q3 earnings, both the Abu Dhabi Investment Authority and the Kuwait Investment Authority now sit among the top 10 shareholders in over 50 companies listed on the A-shares market.
💼 This trend was a hot topic at the Abu Dhabi Finance Week 2025, which wrapped up last Thursday, December 4. The event drew over 40,000 attendees—including Bill Gates, Ray Dalio, and Stephen Schwarzman—and more than 5,000 financial institutions, from commercial banks to sovereign funds.
📈 “In selecting equity assets, Middle Eastern investors prefer those that possess a combination of growth potential, strategic synergy, and stable dividend capacity,” explains Zhang Yiming, managing director and global executive head of equities at China International Capital Corp.
- Green transition & industrial upgrading champions
- High-quality tech companies with global reach
- Traditional industry leaders with steady cash flow
🔍 Analysts say it's not just about diversification—these funds are showing confidence in the Chinese mainland's economy. “The country's industrial chains and its science and technology are continuously advancing, and in some areas are world-leading,” adds Zongyuan Zoe Liu, senior fellow at the Council on Foreign Relations.
🚀 With patient capital flowing in, Middle East sovereign funds are set to deepen their footprint in the Chinese mainland market. Their growing allocation could be a key driver for the internationalization of A-shares in the year ahead.
Reference(s):
cgtn.com
