Four months after the launch of China’s STAR Market aimed at improving the country’s market liquidity and tech self-sufficiency, a group of state-backed companies have jointly set up a fund of funds (FoF) with 5.5 billion yuan ($774.40 million) in initial capital to back tech investments.
The new fund, dubbed Pudong Science and Technology Innovation Fund, was launched by Shanghai State-Owned Assets Supervision and Administration Commission, the local assets watchdog; China Construction Bank (CCB), the country’s second-largest lender; and Bank of Shanghai in eastern China’s financial hub where the country’s new Nasdaq-style tech board STAR Market is located.
