Chinese New Year officially ends this week, but for Hong Kongbased Charles Wang, chief executive officer of Chinese asset manager E Fund Management (HK), the weeklong holiday was not restful at all.
That is because he and his team have been busy preparing for the coming launch of a 1.1 billon yuan fund, which will be among the first batch of renminbi-denominated mutual funds approved by the Chinese government to be raised in Hong Kong.
With the new fund raisings, E Funds assets under management double to nearly $400 million, which is not bad considering that the Guangzhou-based asset manager set up shop in Hong Kong in 2008. We see explosive growth in the coming few years, Wang says, adding that the experiment, also known as RMB Qualified Foreign Institutional Investor scheme (RQFII), likely will be expanded with more quotas given later this year.
E Fund is among a group of 21 mainland fund managers and brokers that are kick-starting a Chinese-government experiment allowing Chinese financial services companies to raise yuan funds in Hong Kong for investing in mainland markets. ....