China's Sovereign Wealth Fund Loads Up On GLD, USO
China Investment Corp., the nation's sovereign wealth fund, has become the fourth-largest shareholder in the U.S. Oil Fund (NYSE: USO), the ETF that tracks crude oil futures, by purchasing 2 million shares, or 3.48% of USO's outstanding units.
According to a filing with SEC, China Investment paid $78.6 million for the stake in USO. Goldman Sachs (NYSE: GS) and Morgan Stanley (NYSE: MS) are also major USO shareholders, according to Bloomberg News.
China Investment also purchased a $155.6 million stake in the SPDR Gold Shares (NYSE: GLD), the second-largest ETF in the world by assets. China Investment, which has $300 billion in assets, made $10 billion in commodity related investments in the second half of last year, Bloomberg reported.
Goldman is the largest USO shareholder. Paulson & Co. is the largest GLD shareholder.
