Chinese mining conglomerate Zijin Mining Group opened its gold and copper investment fund to professional investors in Hong Kong this week, expanding access to a fund previously limited to company insiders.
Gold Mountain Asset Management, Zijin’s overseas subsidiary, launched the fund to external investors Wednesday after operating exclusively for internal companies and employees. The move comes as the $63 billion mining giant seeks to capitalize on bullish commodity outlooks.
The fund targets significant gains in both copper and gold. Portfolio Manager Lisa Liu Sha projects gold could reach $4,000 per ounce in 2025, representing 24% upside from current levels around $3,223. Goldman Sachs forecasts copper hitting $15,000 per tonne by mid-2025.
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Zijin brings substantial credentials to asset management, ranking as China’s largest copper producer and third-largest gold producer. The company produced 1.07 million tonnes of copper in 2023, according to its annual report.
Fund managers cite strong fundamentals supporting both metals. Gold has gained momentum amid macroeconomic uncertainty, rising 0.7% after Moody’s downgraded US debt ratings May 16. Copper demand faces support from energy transition projects requiring over 3 million additional tonnes annually by 2030, while electric vehicles need four times more copper than conventional cars.
Supply constraints add upward pressure. New copper mines now take over 15 years from discovery to production, while resource nationalism in major producing countries creates additional headwinds.
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Gold Mountain Asset Management, established in 2013, holds Securities and Futures Commission authorization for securities advisory and asset management activities. The firm specializes in mining-focused investments across primary and secondary markets.
Zijin shares have surged 347% over five years, supported by strategic global expansion. The company agreed to acquire Ghana’s Akyem Gold Mine from Newmont for up to $1 billion in 2024. China approved a $2.4 billion expansion of Zijin’s Julong Copper Mine in March, positioning it to become the world’s largest copper operation.
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