Based On Cooperation Perspective Of China's Sovereign Wealth Fund, Foreign Investment In Strategic Research

Sovereign wealth funds (SWFs) as an important investment vehicle, is an influential investors in the international financial markets, have received extensive attention from more and more scholars. Corresponding to the private wealth, SWFs is the government through a specific tax and budget allocation, renewable natural resource revenues and the balance of payments surplus, etc. accumulated to, dominatied and control by the government, generally denominated in foreign currency held by public wealth. As the main source of China's SWFs, at the end of2011, China's foreign exchange reserves reached nearly3.2trillion, for the implementation of the diversification of foreign exchange assets, and to prevent the shrinking of a single U.S. dollar asset, the excess foreign exchange reserves trasform into sovereign wealth funds to manage is necessary. Since the subprime mortgage crisis, the foreign exchange reserves's international diversification and asset diversification is gradually accelerated, but in the Citi Bank, Blackstone and other financial institutions, investment losses affect the SWFs investors'confidence and investment results.However, SWFs represent the will of the government, with sovereignty as principal investors, on the one hand, the pursuit of preserving and increasing value-added business investment purposes, on the other hand, need to serve the will of the national strategy and the national long-term strategy. It is because of SWFs'government background, makes many developed countries showed higher vigilance, mainly because of two concerns. The first concern about SWFs is it serves to political purposes, such as military strategy, and the second concern is SWFs as a potential shareholder affact the global market. As a result, the areas of investment and means of SWFs greatly restricted. How to bypass the various barriers of the host country and reducing the vigilance of the host country the urgent is important issue.This paper proposed that the strategy of foreign investment for SWFs not only consider own's interests, but also consider the host country interests. Analyze investment strategies of SWFs not only in theory level, but also take into account the practicality and enforceability of the theory to establish a complete investment system to ensuring the implementation of the strategy. SWFs foreign investment should be combined with national economic development strategy, multi-level, multi-channel, multi-path support the development of domestic industries, especially to support the development about the key node, key industries and key areas of domestic economy. At the same time, to build a harmonious and tolerance mechanism with the host country is important,to realize the investment in win-win.Around the above problem, the paper first with the state economic development strategy, analysis of sovereign wealth funds (SWFs) in the micro, meso and macro three levels of foreign investment, select from the perspective of the global value chain, strategic emerging industries, regional economic development layout and the corresponding mechanism; followed, by a detailed analysis to improve the harmonious and compatibility with host country is important consider factors, and given three different investment cooperation models, each with a mature foreign SWFs, multinational companies, host governments,meantime,combined with the cooperative game theory given the distribution of benefits; Third, space-based measurement model to the SWFs macroeconomic impact of foreign investment and cooperation need to be considered elements to identify the stock market index as an investment object, verify the investors in the asset allocation decision consider the importance of spatial correlation, the establishment of a regional stock index and economic growth, inflation, money supply, interest rates, exchange rates, international reserves, total trade between the spatial econometric models, from a global perspective, the stock price The index of the macro factors affecting the empirical analysis; Then from the meso and micro three levels given the portfolio selection,at two levels evaluation (industries and enterprises)to invest, using the DEA model efficiency of the shares of enterprises,; Finally, given the conclusion of this article, lack of and outlook.The main innovation is reflected in the following pointss:(1) SWFs foreign investment not only should be combined with national economic development strategy, but also to build a harmonious capacity mechanism with the host country;(2) identification and analysis more economic and social factors (domestic industrial demand, foreign transferring values, social responsibility and moral constraints), in addition to investment income;(3) The combination of the alliance thought given China's SWFs foreign investment and cooperation strategy model take into account the rational allocation of SWFs investment income and transferable investment value, set up the transparent mechanism;(4) In view of China's SWFs could not have special ability and experience in foreign investment about various regions and industry,established a multiple main objective optimization model for screening and assessment of domestic enterprises as SWFs investment vehicle, thereby reducing the SWFs foreign investment risk. This study not only has important theoretical significance, such as, to enrich and improve the SWFs overseas investment theory, optimize the allocation of resources worldwide, and to improve harmonious and tolerance with the host country,to expand overseas investment channels, to establish of specialized, market-oriented operating mechanism with a wide range of practical guidance, also from the level of strategic development of real economy to support domestic enterprises to invest overseas, thus achieving domestic economic development.