SSGA’s Hon Cheung takes global role, tips huge flows from FX reserves

Of an estimated $2.5 trillion of surplus sovereign reserves in Asia Pacific, as much as $1.5 trillion could be invested in equities, said the new chief investment strategist for State Street Global Advisors’ official institutions group (OIG). Hon Cheung also sees growing use of exchange-traded funds by sovereign funds and even by less sophisticated central banks, as reserve managers broaden their range of investments. He was previously head of Asia Pacific for the OIG, which cov…