Despite Brexit woes, the UK has become the latest choice for China’s qualified domestic institutional investors (QDII).
Operations in Taiwan and Korea, increasing its stake in its China joint venture and launching more products across Asia are among the firm’s aspirations in the region, according to the firm’s executives.
US-based Principal Global Investors intends to support Chinese asset management partner CCB in launching funds offshore, said PGI’s CEO Jim McCaughan.
JP Morgan’s Hong Kong-domiciled mutual funds attracted the most net new assets in the third quarter of 2017, Morningstar fund flow data shows.
FSA compares two China onshore funds available for sale in Hong Kong through the Mutual Recognition of Funds (MRF): the CCB Principal Dual Income Bond Fund and the E Fund Stable Return Bond Fund.
Rex Auyeung, who will retire as Principal Financial Group’s Asia chairman in June, believes a corporate culture match is key to his firm’s long joint venture with mainland powerhouse bank CCB.
Principal Financial Group and CCB expect to launch two southbound funds through the Mutual Recognition of Funds scheme this month.