China's stock transfer
The state, like the Lord, gives and takes away. Russian oligarchs learned the lesson earlier this decade. Now it is China's turn. Beijing this weekend ordered state institutions to transfer shares of listed companies that they own into the social welfare fund.
At first blush, Beijing is simply switching shares from one pocket into another: 826 state-owned institutions, including regional governments, will park part of their holdings into the National Social Security Fund. The amount is equivalent to 10 per cent of the amount each company raised at its initial public offering, a total of $9.3bn. And the edict is retroactive, covering 131 companies that have listed on mainland stock markets since 2005.
But transferring shares without payment raises issues, even when kept within the family. There may be no land grabs or oligarchs tossed into jail, as in Russia, but China is in effect ordering owners to surrender assets for free. This is unusual, even by China's standards. When assets were transferred into China Investment Corp, the sovereign wealth fund paid for them via a complex bond financing.The move reinforces the manipulated nature of China's equity markets. Just as more shares are coming on-stream with the re-opening of the local IPO market, so some are being taken off-stream. Shares transferred to the NSSF will be subject to a three-year lock-up. Yet another reminder that investors in Chinese stocks, like Job, need more than a bit of stoicism.
但是，不作支付就转移股票，会带来各种问题，即便交易各方都是“一家人”。也许没有俄罗斯那样的抢占土地或把寡头关进监狱，但中国实际上是在命令股 东无偿交出资产。即便按中国的标准，这也是不寻常的。当资产转移到中国投资公司(China Investment Corp)时，这个主权财富基金还通过一笔复杂的债券融资交易，为接手这些资产付了款。