Lu International in Hong Kong, a subsidiary of China retail fintech firm Lufax Holding, has started distributing the first batch of US dollar-denominated products through its online investment platform.
Launched in August, the Lu HK app only had Hong Kong dollar-denominated mutual funds. According to the app, it has 20 HK dollar-denominated funds, which include products managed by global, Hong Kong and Chinese fund managers (see below).
The first batch of US d0llar-denominated funds includes one bond fund and four equity funds, which are the BNY Mellon Emerging Market Corporate Debt Fund, the BNY Mellon Mobility Innovation Fund, the BNY Mellon Long-Term Global Equity Fund, the Franklin Technology Fund, and the Franklin Biotechnology Discovery Fund, according to the statement and information from the app.
The Lu HK app shows that these five products are already on the platform.
“Not only will it enrich our fund product offerings on the platform, it can also satisfy the risk appetite of different investors. Our equity fund offerings also include many highly sought-after sectors such as technology, alternative-fueled vehicles (AFVs) and biotech,” Cai Hua, CEO of Lu Hong Kong said in the statement.
“Given the market expectation of low US Federal Reserve rates to maintain in the foreseeable future, and the continuation of the global quantitative easing cycle, investors who prefer steady returns may choose value stocks with high performance potential on the Lu Hong Kong app,” he added.
The 20 Hong Kong dollar-denominated funds
|Allianz Global Artificial Intelligence||Equity|
|CUAM China-Hong Kong Strategy Fund||Equity|
|Franklin Technology Fund*||Equity|
|E Fund (HK) China Equity Dividend Fund||Equity|
|Da Cheng Overseas China Concept Fund||Equity|
|Harvest China Equity Fund||Equity|
|Franklin Biotechnology Discovery Fund*||Equity|
|Da Cheng China Balanced Fund||Mix-asset|
|Janus Henderson Balanced Fund||Mix-asset|
|Allianz Income and Growth||Mix-asset|
|Bosera-Orient Sun Rise Greater China Bond Fund||Bond|
|ChinaAMC Select Fixed Income Allocation Fund||Bond|
|AB Low Volatility Equity Portfolio||Equity|
|Franklin U.S. Government Fund||Bond|
|E Fund (HK) Hong Kong Dollar Money Market Fund||Money market fund|
|Templeton Emerging Markets Dynamic Income Fund||Mix-asset|
|E Fund (HK) Select Asia High Yield Bond Fund||Bond|
|CSOP Select US Dollar Bond||Bond|
|Harvest China Income Fund||Bond|
|Harvest China A Research Select Fund||Equity|
Source: Lu HK app. *Among the first batch of US dollar-denominated funds
The firm has been active in expanding its services outside of China. In Thailand, Lu International announced its partnership with Kasikornbank in August to launch an online wealth management platform in the country, which was just rolled out this week.
Its first overseas arm was set up in Singapore in 2017, which launched the Lu Global online platform in the Lion City the year after.