China’s Big Fund trim stake in tech sector

On Saturday, China’s state-backed semiconductor fund announced plans to trim its stakes in select tech firms, even as foreign investors continued to increase their exposure to its tech sector.

China’s National Integrated Circuitry Investment Fund, which is known as the “Big Fund”, said, it plans on cutting its stakes in chipmaker Hunan Goke Microelectronics, Shenzhen Goodix Technology, and Gigadevice Semiconductor, by around one percentage point each.

Currently the National Integrated Circuitry Investment Fund has a stake of 9.7% in Gigadevice Semiconductor, 6.6% in Shenzhen Goodix Technology, and 15.6% in Hunan Goke Microelectronics. It did not elaborate or ascribe a reason for its decision.

So far this year, foreign investors have spent a record $27.1 billion (190 billion yuan) via the Stock Connect and have purchased technology shares listed on the Shenzhen Stock Exchange.

Midst tighter U.S. scrutiny on Chinese tech firms, China has set up the Big Fund to support its chip sector. In October it also created a new national semiconductor fund of 204.2 billion yuan towards gaining self-sufficiency in this sector.

($1 = 7.0063 Chinese yuan renminbi)

Categories: Creativity, Economy & Finance, Entrepreneurship, HR & Organization, Strategy

Tags: , , , , , , , , , , , , , , , , , , , , , , , , , ,

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.

%d bloggers like this: