This paper, based on the status of china’s external wealth, using china’s external wealth data from 1982 to 2012, estimates the valuation effect existing in China’s external wealth. The results show that there exists negative valuation effect in the changes of Chinese external wealth, but the valuation effect shows volatility. The role of exchange rate of RMB against the U.S. dollar on the valuation effect is the largest and its direction is positive; the change rate of net external assets affects secondly and the direction shows volatility. The impact of the one-year US national bond rate on valuation effect is positive. The return on capital of foreign investment affects valuation least.