Fund managers keep equity exposure unchanged

    CHINESE fund managers kept their suggested equity exposure for the next three months unchanged at 75 percent, in anticipation the market will rebound following January’s more than 20 percent slump, a poll showed.

    Recommended bond and cash holdings were also unchanged, both at 12.5 percent, according to the poll conducted last week. “January’s market decline exceeded our expectations,” said a fund manager, who declined to be identified. “However, after such a big correction, there’s relatively small room for further falls, while the chance of a rebound is increasing.”

    Sinosteel to extend bond redemption period again

    SINOSTEEL, a Chinese State-owned steelmaker, will extend until Feb. 29 the registration period for early redemption on a putable bond that investors could originally elect to redeem last October.

    The statement posted on the website of one of China’s main bond clearinghouses Friday marked the fifth time Sinosteel has extended the redemption period. The repeated extensions come after Sinosteel had asked bondholders of its 2 billion yuan (US$309 million) October 2017 bond not to exercise a put option Oct. 20, because the company would not be able to make a full payment.

    China Oilfield expects 2015 profit to fall 85%

    CHINA Oilfield Services Ltd. said late Friday it expected its 2015 net profit to fall 85 percent from a year earlier, on the slump in global oil prices and weak demand in oilfield-related services.

    The company said it had made a provision for goodwill and assets impairments in 2015 amid declines in the volume of work and services prices. It posted a net profit of 7.49 billion yuan (US$1.14 billion) for 2014.

    PetroChina sees sharp fall in 2015 profit

    PETROCHINA Co., the country’s biggest oil and gas producer, expects its 2015 profit to have fallen 60 percent to 70 percent from a year earlier because of the slump in energy prices.

    The firm sees the oil market continuing to be weak this year and is seeking to cut costs, it said in a statement Friday. PetroChina cited crude’s fall and lower domestic natural gas prices for the drop in earnings. The company reported net income of 107.2 billion yuan (US$16.3 billion) for 2014. Brent crude, the benchmark for more than half the world’s oil, plunged 35 percent last year, punishing producers and forcing drillers to slash spending and cut staff.