HK Exchange Fund to stay prudent after woeful results

The Hong Kong Monetary Authority aims to keep “prudently” investing its Exchange Fund through asset diversification and defensive measures, after global stock market volatility gouged a big hole in its first half returns, according to executives from the de facto central bank. The HK$4.1 trillion ($522.39 billion) fund, which is responsible for supporting the currency peg between the Hong Kong dollar and US dollar, reported a loss of HK$7.7 billion in the second quarter, its first…