Using Chinese listed companies’ data from the 2008–2018 period, this study investigates the impact of overseas operations, proxied by overseas subsidiaries, on financial asset allocation. The results show that, first, in general, enterprises that participate in overseas operations have a higher level of financial asset allocation. Second, heterogeneity analysis at the micro level shows that overseas operations promote both hedged and non-hedged financial assets. The relationship between overseas operations and financial asset allocation mainly exists when the parent company faces more serious financing constraints, no overseas returned executives are present in the parent company, overseas subsidiaries have inconsistent business with the parent, and overseas subsidiaries experience losses. Third, heterogeneity analysis at the macro level shows that compared with overseas operations in Organization for Economic Co-operation and Development (OECD) countries, overseas operations in non-OECD countries have a higher level of financial asset allocation. Furthermore, compared with overseas operations in non-Belt and Road countries, overseas operations in Belt and Road countries have a higher level of financial asset allocation. Overseas operations mainly play a role in promoting financial asset allocation in cases of high economic risk, high political risk, and numerous investment opportunities in areas where overseas operations are located. Fourth, financial asset allocation is beneficial for reducing cash flow fluctuations and operational risk of multinational enterprises, and acts like a reservoir. This study advances research on the determinants of financial asset allocation from the unique perspective of the overseas investment channel, which provides some implications for the Chinese government on its “Go Global” and Belt and Road strategies and realizing financial development to serve the Chinese economy.