Shares in Bank of China fell more than 9% in Tuesday trading after Temasek, the Singapore state investment agency, trimmed its holding in the mainland Chinese lender. Temasek, the bank’s second largest foreign shareholder, said the disposal of $567m worth of Hong Kong-listed H-shares formed part of its “active portfolio management”. The statement helped calm market speculation that the sale was linked to worries over the Chinese bank’s exposure to US subprime mortgages. However, Bank of China shares closed down 5.2%. See FT Alphaville on the growing power of SWFs.

This entry was posted by Gwen Robinson on Wednesday, November 28th, 2007 at 5:24 and is filed under Capital markets. Tagged with bank of china, Temasek. Edit this entry.