Neuberger Berman Fund Management (China) announced on its website that it has officially launched its first China onshore retail fund, the One Year Fixed Income Securities Investment Fund.
According to Wind data, the fund’s assets under management are the largest in its fixed income subcategory year to date.
During the three-week initial public offering period, the fund gathered RMB4.1bn ($595m) in assets.
Bank of China is the custodian bank and the lead distribution partner for the fund, according to Neuberger Berman China.
“The successful launch demonstrates that our investors are looking for differentiated investment solutions,” said Alan Wang, manager of the personal finance department at Bank of China’s head office.
“With our commitment to high-quality financial services, Bank of China will continue to seek best-in-class investment solutions from both local and global mangers, bringing comprehensive investment capabilities to our investors.”
The fund is co-managed by Peter Ru, CIO of fixed income, and Ping Zhou, CIO of quantitative investments at Neuberger Berman Fund Management (China).
The strategy invests at least 80% of assets in Chinese government bonds and notes, as well as bonds issued by policy banks and investment grade quality corporations in China, according the fund factsheet.
The China Securities and Regulations Commission approved the fund for sale in late February, making Neuberger Berman the second foreign fund management company in China to offer funds to retail customers in China.