Popular investor George Soros blasted BlackRock Inc.’s investment in China as a “tragic mistake” due to the risks on national security, Bloomberg reported.
In an opinion piece in the Wall Street Journal, Soros said the BlackRock investment is likely to lose money for clients and “damage” not only the national security interests of the United States but of other democracies as well.
Soros said BlackRock seemingly misunderstood Chinese President Xi Jinping, who the investor said was pushing all firms to forward the one-party state. Soros earlier denounced Xi as “the most dangerous enemy” of the world’s open societies.
The investor, a backer of US President Joe Biden’s Democratic Party, said the US and China are now in a “life and death” conflict between the repressive and democratic systems of governance.
BlackRock — the biggest money manager across the globe — started offering investment products to Chinese individuals last month. The firm representatives were not immediately available to comment on the matter.
BlackRock, Goldman Sachs Group Inc., and most of their contemporaries believe the benefits of investments into China eclipse the risks. BLK is up 0.31% premarket, FXC is up 0.47%.