Ambitions run high at Harvest, where foreign offices and acquisitions outside of China form part of the firm’s strategy to become the first global Chinese asset manager, said Ashley Dale, chief business development officer at Harvest Global Investments (HGI).
More China-based asset managers are expected to internationalise and target European investors, according to Alessandro Silvestro, Hong Kong-based managing director for Asia-Pacific at Lemanik Asset Management.
Only a small number of large foreign asset managers are expected to apply for approval to hold a controlling stake in a Chinese asset management joint venture, according to Sean Hung, senior analyst at Moody’s Investors Service.
The inclusion of 230-odd China A-shares was a hugely symbolic moment for UK and European investors but the region’s fund industry has failed to get ahead of the curve, with most firms lacking dedicated teams of analysts or products to invest in.
Morgan Stanley intends to increase its stake in the joint venture Morgan Stanley Huaxin Fund Management to a majority interest.
Foreign managers in China are moving forward as Blackrock, Schroders and Man Group launch onshore fund products targeting domestic qualified investors.
Kuala Lumpur-based CIMB-Principal Asset Management has received additional quota enabling the firm to invest in China’s onshore markets, according to latest records from the country’s State Administration for Foreign Exchange (SAFE).
Despite recent defaults on China bonds, China Asset Management has today listed a fixed income exchange-traded fund that tracks a China onshore bond index.
Morningstar’s semi-annual report on China’s best mutual fund ideas chose 16 onshore funds based on fund manager experience, consistency in investment process and performance in several market cycles.
April marked five consecutive months of net outflows for Hong Kong-domiciled funds sold in China through the Mutual Recognition of Funds (MRF) scheme, according to the latest data from the State Administration of Foreign Exchange (SAFE).
Part of the Mark Allen Group.
