The chief investment officer of the nation’s largest public pension fund resigned Wednesday amid controversy over his ties to a Chinese sovereign massive wealth fund.
Meng’s appointment to the CIO slot was controversial from the start because he had most recently worked for China’s State Administration of Foreign Exchange (SAFE), the country’s shadowy foreign-exchange and currency regulator that manages a $3 trillion investment fund.
Exactly what role Meng played as SAFE deputy chief investment officer is unclear, in large part because almost everything about SAFE is concealed behind a China Wall of secrecy.
CalPERS did not respond to a request for more information about Meng, who managed a multi-million portfolio of assets for the pension fund before he went to SAFE.
But in recent times China’s investment strategy shifted to investing in technology and supporting China’s One Belt One Road schemes.