* Fund has $1 bln invested in China, wants more
* Sees global bond returns low for a long time
(Adds comments on China)
By Gwladys Fouche
OSLO, April 30 Norway's sovereign wealth fund,
one of the world's largest investors, urged China to open its
domestic markets to foreign investors, saying it was keen to
pour billions of dollars into the world's second-biggest
The head of the fund, which invests Norway's revenues from
oil and gas production for future generations, said on Tuesday
it had only around $1 billion invested in China out of total
holdings of $735 billion.
"Over time we will assume that we will have investments in
China in proportion to the size of the economy. For the moment
our investment in China is very little," Yngve Slyngstad said
after speaking at a parliamentary hearing in Oslo.
Norway's wealth fund is shifting away from European assets
towards Asia and emerging markets to seek higher returns.
Slyngstad said the offshore market for renminbi bonds was
quite small and not very liquid, and that the onshore market was
largely not available to foreign investors.
"China is a large investor in other parts of the world so it
is reasonable to assume that they will allow those investors
from those markets where they have invested themselves to invest
in their market. I think this is a time question and we await
developments," he said.
Separately, Slyngstad told the parliamentary hearing that
global bond returns were low and would likely be low for a long
time, making it more difficult for investors to earn high enough
(Editing by Mark Potter)