BlackRock’s China Investments
BlackRock’s China Investments, George Soros Said, were a “Tragic Miscalculation.” In his latest salvo against investment in the world’s second-largest economy, billionaire financier and philanthropist George Soros blasted BlackRock Inc.’s China drive as a risk to customers’ money and U.S. security interests.
In a Wall Street Journal op-ed, Soros said, “Pouring billions of dollars into China today is a disastrous mistake.” “It is likely to lose money for BlackRock’s customers and, more importantly, will harm the US and other democracies’ national security/
BlackRock is spearheading a global push into the Chinese asset management market. Two months after receiving clearance to become China’s first completely foreign-owned mutual fund provider, the world’s largest money manager began offering investment products to Chinese citizens last month. BlackRock’s China Investments, George Soros Said, were a “Tragic Miscalculation.”
In the wake of a wave of market-roiling crackdowns, Soros has written many articles in recent weeks warning against
Congress should approve legislation restricting asset managers’ investments to “businesses with true governance mechanisms that are both transparent and aligned with stakeholders,” according to the Times.
In the most recent post, Soros claimed that BlackRock misunderstood Xi, claiming that his administration saw all Chinese enterprises as “instruments of the one-party state.” BlackRock’s China Investments, George Soros Said, were a “Tragic Miscalculation.”
The opposing viewpoints of two of the world’s most powerful money managers highlight the increasingly volatile climate in which financial institutions operate in Asia’s largest economy. While Xi has made it easier for international companies to participate in domestic markets, his government is tightening its hold on the private sector and battling with the US on issues ranging from cybersecurity to Xinjiang human rights violations.
BlackRock’s China Investments, George Soros Said, were a “Tragic Miscalculation.” Soros claimed that the restrictions, which began with the abrupt cancellation of Ant Group Co.’s initial public offering last year, have now “reached a crescendo.” He mentioned the moves taken against Didi Global Inc., a ride-hailing business, just days after its New York IPO, as well as the crackdown on “US-funded” Chinese teaching companies. BlackRock executives, according to Soros, must be aware of a “enormous disaster looming in China’s real estate sector.”
Soros remains a prominent supporter of US President Joe Biden’s Democratic Party, although he no longer oversees outside funds and is, for the time being, a Wall Street minority voice. BlackRock’s China Investments, George Soros Said, were a “Tragic Miscalculation.” BlackRock, Goldman Sachs Group Inc., and the majority of its money management and banking colleagues have decided that the benefits of doing business in China exceed the risks.
BlackRock’s China Investments, George Soros Said, were a “Tragic Miscalculation.” “Today, the United States and China are locked in a life-or-death struggle between two governance systems: oppressive and democratic,” Soros stated.