Hong Kong-domiciled actively-managed mutual funds have collectively seen net inflows of $1.36bn in 2017, according to data from Morningstar. Mixed assets and fixed income funds were the most desirable categories, with net inflows of $2.39bn and $1.6bn, respectively.
Losers were equity mutual funds, which had net outflows of $2.82bn during the year, equivalent to around 9% of their aggregated AUM at the end of the year.
Broadly speaking, investors took money out of Asian and US equity funds, while buying European equities, and the technology and financial sectors.
| Fund Category | Estimated Net Flow 2017 (US$) | AUM 31 Dec 2017 |
| Mixed Assets | 2.39bn | 14.3bn |
| Fixed Income | 1.6bn | 15.9bn |
| Equity | −2.82bn | 31bn |
Data: Morningstar, 31 December 2017. Hong Kong-domiciled funds.
The general trend toward buying mixed asset and fixed income funds is reflected in the list of top ten asset gathering funds registered for sale in Hong Kong in 2017, and in the similar list of top ten funds that lost assets.
JP Morgan, with 39 mutual funds domiciled in Hong Kong (only BOCI-Prudential has more: 40) has four of its funds among the top ten asset gatherers, and four among the top ten money losers.
Top 10 asset-gathering mutual funds (US$)
| Fund | Category | Estimated Net Flow 2017 | Fund Size 31 Dec 2017 |
| HSBC Asia High Income Bond Fund | Asia Fixed Income | 1.69bn | 1.72bn |
| JP Morgan Multi Income Fund | Mixed Assets | 1.04bn | 5.92bn |
| JP Morgan Asian Total Return Bond Fund | Asia Fixed Income | 383m | 3.83bn |
| JP Morgan China Income Fund | Mixed Assets | 282m | 384m |
| BOCHK Hong Kong Dollar Income Fund | Asia Fixed Income | 268m | 1.60bn |
| JP Morgan Multi Balanced Fund | Mixed Assets | 267m | 284m |
| Principal LSF Hong Kong Equity Fund | Greater China Equity | 224m | 1.16bn |
| Schroder China Asset Income Fund | Mixed Asset | 216m | 434m |
| BEA Union Investment Asian Bond and Currency Fund | High Yield | 210m | 483m |
| BEA Union Investment Asia Pacific Multi Income Fund | Mixed Asset | 157m | 543m |
Data: Morningstar, full year to 31 December 2017. Hong Kong-domiciled funds.
Top 10 asset-losing mutual funds (US$)
| Fund | Category | Estimated Net Flow 2017 | Fund Size 31 Dec 2017 |
| Value Partners High Dividend Stocks Fund | Asia ex-Japan Equity | −1.21bn | 3.30bn |
| HSBC Asian High Yield Bond Fund | High Yield | −939m | 927m |
| HSBC China Growth Fund | Greater China Equity | −461m | 333m |
| JP Morgan Global Bond Fund | Global Fixed Income | −416m | 456m |
| Value Partners Classic Fund | Greater China Equity | −402m | 1.57bn |
| JP Morgan Asean Fund | Asia ex-Japan Equity | −389m | 1.65bn |
| JP Morgan Asia Equity Dividend Fund | Asia ex-Japan Equity | −290m | 1.69bn |
| Fidelity GIF Hong Kong Equity | Greater China Equity | −226m | 4.48bn |
| Pinebridge Hong Kong Equity | Greater China Equity | −140m | 1.24bn |
| JP Morgan Japan (Yen) Fund | Japan Equity | −125m | 237m |
Data: Morningstar, full year to 31 December 2017. Hong Kong-domiciled funds.
All in all, JP Morgan was the most successful firm in attracting new money to its funds, with a net inflow surpassing $1bn.
Ten biggest asset managers in Hong Kong (US$)
| Firm | Estimated Net Flow 2017 | AUM 31 Dec 2017 |
| JP Morgan | 1.09bn | 19.2bn |
| BOCI-Prudential | 165m | 8.03bn |
| Schroders | 244m | 6.45bn |
| HSBC | 299m | 6.15bn |
| Pinebridge | −43.7m | 5bn |
| Value Partners | −1.62bn | 5bn |
| Fidelity | −212m | 4.58bn |
| BEA | 571m | 3.45bn |
| Principal | 382m | 2.49bn |
| Zeal Asset | 36m | 405m |
