GIC raises stake in Chinese bank

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• OCBC's insurance arm Great Eastern, that is buying up Morgan Stanley's 34.5 per cent stake in China Investment Capital Corporation;
• CIMB economist Song Seng Wun noted that GIC was recently mentioned in connection with the purchase of a stake in a Brazilian investment bank, BTG Pactual, worth US$1.5 billion;
• It's consistent with the strategy of being where emerging markets are, which is where growth is,' he said.
  Singapore Management University Associate Professor Melvyn Teo noted that when bourses rise, investment banks benefit due to the large numbers of IPOs.
  
  
  In this case, GIC may be of the view that emerging markets will drive much of global growth in the next few years.
  
  
  'Brazil is, by and large, a commodity-driven economy and therefore, its growth will be correlated with that of China, which is a big consumer of commodities,' he said.

GIC raises stake in Chinese bank