{"id":2027329,"date":"2023-09-10T15:16:01","date_gmt":"2023-09-10T19:16:01","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/blackrock-closes-china-equity-fund-after-congressional-scrutiny\/"},"modified":"2023-09-10T15:17:48","modified_gmt":"2023-09-10T19:17:48","slug":"blackrock-closes-china-equity-fund-after-congressional-scrutiny","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/blackrock-closes-china-equity-fund-after-congressional-scrutiny\/","title":{"rendered":"BlackRock shuts China Equity Fund due to Congressional scrutiny."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">18<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fblackrock-closes-china-equity-fund-after-congressional-scrutiny%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2027329&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><h2>BlackRock to Close China-Focused\u2062 Offshore Fund Amid Congressional Scrutiny<\/h2>\n<p>BlackRock, the world&#8217;s largest \u2063money manager, has announced the closure of its China Flexible Equity Fund. The decision comes as the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/blackrock-closes-china-equity-fund-after-congressional-scrutiny\/\" title=\"BlackRock shuts China Equity Fund due to Congressional scrutiny.\">company faces congressional scrutiny<\/a> over its alleged involvement in directing U.S. dollars to blacklisted Chinese firms.<\/p>\n<p>In a letter to shareholders, BlackRock Global \u200bFunds Chairwoman Denise Voss\u200d cited a &#8220;lack of shareholder interest&#8221; and the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/is-there-a-race-for-solar-power-from-space\/\" title=\"Is There a Race for Solar Power from Space?\">high investment cost<\/a> \u2062as reasons for the\u200b fund&#8217;s closure. \u2064Voss emphasized that \u2064this move is in the best interests\u200d of shareholders.<\/p>\n<p>The fund&#8217;s assets will be\u200b liquidated, and outstanding shares\u2063 will be redeemed \u2063by November \u200d7. Existing shareholders have the option to switch their investments to another fund, sell their shares before the liquidation date, or receive automatic payments when \u200cthe fund\u2064 closes.<\/p>\n<h3>Related Stories<\/h3>\n<ul>\n<li><a href=\"http:\/\/www.theepochtimes.com\/article\/biden-admin-is-killing-chinas-high-tech-ambitions-5487835\">How the Biden Admin Is Killing China\u2019s High-Tech Ambitions<\/a> &#8211; 9\/7\/2023<\/li>\n<li><a href=\"http:\/\/www.theepochtimes.com\/world\/g20-countries-reach-agreement-on-joint-statement-averting-crisis-at-new-delhi-summit-5488866\">G20 Countries Reach Agreement on Joint Statement, Averting Crisis at New Delhi Summit<\/a> &#8211; 9\/9\/2023<\/li>\n<\/ul>\n<p>The China Flexible\u200b Equity Fund, which was opened in October 2017, had an asset value of approximately $21.4\u2063 million as of late August. However, it has experienced negative returns, with a 16.7 percent decline in 2021 and a further \u2062drop to \u200b30.5 percent in 2022.<\/p>\n<p>This closure comes shortly after the House Select Committee on the Chinese Communist Party initiated an investigation into\u2063 BlackRock and investment index provider MSCI for their alleged investments in \u200dChinese \u200bcompanies that the U.S. government considers problematic.<\/p>\n<p>BlackRock and MSCI have facilitated investments in over\u200d 60 Chinese entities that have been sanctioned by the U.S. government for national security or human rights issues.\u200d The actual number\u2062 of Chinese companies benefiting\u2063 from these investments is likely higher. The House committee revealed that BlackRock has \u2063invested \u2063more than $429 million in such \u200bChinese firms across five funds.<\/p>\n<p>One of\u2063 the\u2062 top invested \u2064Chinese entities in the China Flexible Equity \u200bFund is Tencent, a state-backed \u200ctech giant known for\u2064 aiding Beijing in \u200csilencing dissent and \u200dspreading propaganda through its messaging app WeChat. Other notable investments include China Yangtze Power, a <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/blackrock-closes-china-equity-fund-after-congressional-probe\/\" title=\"BlackRock shuts China Equity Fund following Congressional investigation.\">state-owned hydropower operator<\/a>, and Nari Technology, the country&#8217;s largest supplier of \u2064electric power equipment.<\/p>\n<p>In response to the congressional probe, BlackRock stated that it complies with all\u2064 applicable\u200d U.S. government laws regarding investments in China and markets worldwide. However, the company has not \u200byet \u200ccommented on the closure of the China fund.<\/p>\n<p>There is a growing wariness among U.S. investors \u200ctowards the Chinese market. \u200cDespite\u2064 hopes for an economic \u2064recovery, China is\u2062 facing a slowing economy, a drop in trade, a housing crisis, \u200band tensions \u2062with the United States.<\/p>\n<p>In August, President Joe\u200c Biden signed an executive order restricting U.S. investments in \u2062China&#8217;s advanced technologies, citing \u2062national security risks.<\/p>\n<p>According \u200bto Gary Dugan, \u200bchief investment officer \u2063at\u200c Dalma\u200b Capital, U.S. investors are particularly concerned about the ongoing trade tensions between the two countries.<\/p>\n<p>China&#8217;s\u200b regulatory environment also\u200b poses challenges for foreign investors. The country\u2064 has expanded an anti-espionage law that could criminalize\u200c regular business activities,\u200d conducted\u200b raids on foreign companies&#8217; offices, and banned certain purchases from U.S. chipmaker Micron Technology.<\/p>\n<p>Commerce Secretary Gina Raimondo has \u200bstated that \u200cAmerican businesses increasingly view China as too risky for investment.<\/p>\n<p>Foreign investors\u200b have been selling off Chinese stocks, signaling a lack \u200dof confidence in the market.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>BlackRock is shutting down its China-focused offshore fund due to congressional scrutiny and a lack of shareholder interest. The closure comes amidst allegations of directing U.S. dollars to blacklisted Chinese firms. Denise Voss, Chairwoman of BlackRock Global Funds, confirmed the decision in a letter to shareholders.<\/p>\n","protected":false},"author":361,"featured_media":2027330,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[543],"tags":[],"class_list":["post-2027329","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-epoch-times"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2027329","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/361"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2027329"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2027329\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2027330"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2027329"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2027329"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2027329"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}