Watch VideoPlay Video
Official figures show China did well in maintaining the value of its foreign reserves, even during the turbulent fluctuations of 2008. In order to maximize the value of China's 2.45 trillion yuan of foreign reserves under the principle of diversification, experts say the gold and stock market may be an ideal choice for China.
Despite Chinese gold reserves reaching 1 thousand 054 tons, that only accounts for less than 50 billion U.S. dollars of China's foreign reserve investment portfolio.
Zhao Qingming, Senior Manager of China Construction Bank said "For the purpose of offsetting the risks, China should invest in diversified currencies. I suggest the government should also adopt diversified investment channels as well. For example, it could invest in the stock market, in particular derivatives or even commodity futures products."