Kuwait fund fares well in financials
For sovereign wealth funds, the financial crisis has been a blessing and a bane. They took some hard knocks over the course of the financial crisis. Some got stuck with some poor investments and some winners. Last May, the Kuwait Investment Authority made a $750 million investment in asset manager BlackRock and has realized a 40 percent paper gain since then.
In December, KIA also sold its $3 billion stake in Citigroup for a $1.1 billion profit. While the fund is still down up to 40 percent on its Bank of America investment, it is willing to stick it out, notes Reuters. Some have fared much worse. The China Investment Corp. has seen its investment in Blackstone group fare poorly. Temasek Holdings, also backed by the government of Singapore, replaced its leadership team and overhauled its investment strategy after big bets on Barclays.
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