Ding, chairman and chief executive of China's sovereign-wealth fund China Investment Corporation (CIC), will take over from Jin Liqun, who resigned, the bank said in a statement on Thursday.
As well as his new role, Ding will retain his current position at CIC, a person familiar with the sovereign fund told FinanceAsia. CIC has assets under management of $650 billion.
Central Huijin Investment, Chinese investment bank CICC’s largest shareholder with a 43.36% stake as of end-2013, nominated Ding for his new role, which was approved by CICC’s board, the person said. Central Huijin is also a wholly-owned subsidiary of the wovereign fund CIC.
“It’s common that senior executives move among subsidiaries within the CIC,” the person said. “But it’s rare that CIC’s chairman chairs a subsidiary’s board at the same time.”
Jin, investment bank CICC’s former chairman, also joined from the fund CIC last year with his most recent role at the fund being supervising chairman. Jin will take up a senior position in Asia Infrastructure Investment Bank, a pan-Asian financial institution led by China.
CICC last Tuesday announced chief executive Levin Zhu resigned after 16 years at the firm. There has been market speculation that more senior managers will leave, with Jin being among them. Jin's move and Ding's appointment at least ends speculation on that front.
The next task for the bank is appointing a new CEO and the board has already started the recruitment process, according to a source close to CICC. Lin Shoukang, chief operating officer, is acting chief executive and also acting chairman of the management committee.
Ding, 54, joined CIC in March last year after his predecessor Lou Jiwei was appointed as China’s finance minister. Prior to CIC, Ding was in charge of several divisions including finance, education, property rights, and, most recently, vice-secretary at the State Council.
