Services

Army pension group to be sold to China

The military pension group is set to be auctioned off to a Chinese company, a source close to the sale has told Newsweek.

The pension fund is part of the Pentagon’s Pension Benefit Guaranty Corp., or PGGC, which has been in existence since 1972.

A source close with the sale said that a buyer has been identified and is looking to raise $200 million in capital.

The sale will be finalized on Friday.

In recent years, China has been investing in the pension fund.

Pension fund was one of the main drivers of the American economic recovery, helping spur the US to a post-crisis recovery.

Its sale comes amid rising concern in the US about the threat of China and its growing economic and political influence.

Read more about military pensions here: Paid for by: The U.S. Department of Defense (DoD) Office of the Secretary of Defense.

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Photo: Defense Dept. via Flickr