Member

The state-owned investor’s options would be to invest, and take the risk that their own investment might exceed the limit because of an investment from another country that is below the disclosure requirements, or to err on the side of caution and either not invest or invest in much smaller amounts. To require state-owned investors to bear the risk of there being small undisclosed holdings from other countries could be likely to discourage investment. It would also be undesirable to be in a situation of frequently requiring state-owned investors to divest their investment because they had unknowingly breached the cap.