Ignites Asia’s Post

The UK and China will study the feasibility of establishing exchange traded fund and wealth management connect schemes to link the capital markets of the two countries. https://lnkd.in/ggm4h7ec

Closer diplomatic and economic ties between #China and Middle Eastern nations have sparked talk of growing prospects for fund firms hoping to play a role in managing the abundant wealth of sovereigns and wealthy individuals from the region. Will this expectation be realized? According to our founder and managing partner, Jessica Wong, who recently gave an interview to Ignites Asia (a news service from the Financial Times), it is crucial that Chinese fund companies understand the local market and what they could bring to it. Chinese asset managers eyeing opportunities in the Middle East need to think about “value creation” and need to be clear if they just want the money or if they want to localise. Chinese asset managers need to think about if the specialty they can provide is what is needed locally now. It is very important to learn from local partners.

Following the resilient performance demonstrated by Asian Credit since the start of the year, Henry Loh emphasised focusing on the double B (BB) to triple B (BBB) segments for the best overall opportunities, rather than dividing the universe into investment grade and high yield bonds. With spreads expected to remain stable, these bonds can be used to build a core portfolio of strong issuers that support overall portfolio returns and income. Read more: https://lnkd.in/g-kqwDx3 Discover our full spectrum of investment capabilities across equities, multi-asset and fixed income: https://lnkd.in/gZ6XEVcZ Investment involves risk. The post is issued by abrdn Hong Kong Limited and has not been reviewed by the SFC. #abrdnInvestments #PressRelease #IncomeChampion

Chinese investors are pouring significant funds into Hong Kong mutual fund products that invest overseas, particularly in bonds, following an expansion of the cross-border trading channel this month.

🆕 For someone who has spent a fair bit of time in China this is quite extraordinary. I did not expect the adoption to happen so fast, but China's passive equity funds have surpassed active funds in assets for the first time. Good piece from Ignites. #indicies #index #china ⬆ ETFs are experiencing significant growth over recent quarters. Driven by a combination of investor disillusionment with active management and state support for passive investments. #ETF #investing -> The value of domestic stocks in passive funds reached Rmb3.6 trillion (US$443 billion) by the end of Q3 2024, surpassing the Rmb2.84 trillion in active funds. #equities -> Over the past six quarters, passive funds have enjoyed continuous inflows, while active funds have faced steady outflows due to underperformance. Also, the government has actively promoted passive investing through state-directed investments, such as China’s sovereign wealth fund injecting Rmb300 billion into five broad-based ETFs. #investors -> Institutional and retail demand for passive funds continues to rise, with October seeing a rush of new ETF launches. Many active fund investors, taking advantage of recent stock market gains, have been redeeming their investments amid ongoing volatility and concerns over sustainable returns.

Please take a look at this Functions for the Market article highlighting fixed income's growing contribution to ETF inflows, the preference of investors for value equity funds and how state funds are piling into China assets. Terminal clients can read at: https://lnkd.in/eKdSBwxH #Bloomberg #ETF #Flows #China

The private equity industry in Korea is facing significant challenges due to geopolitical risks and policy uncertainties. Foreign institutional investors are withdrawing from domestic private equity fund (PEF) investments, and local banks are also hesitant to invest due to the need to manage risk-weighted assets. This situation has made it difficult for PEFs to raise and recover funds, with the sluggish domestic stock market further complicating matters (source: MK).

Finally the attention from the market re our 2828 has come back! HKD27Bn is not a small size. As I always said, ETF is an efficient tool for different kind of investors/ market participants to fulfill their needs. We look forward for new record highs in the coming future! #2828 #HangSengInvestment #HSCEI #etf

Today’s China Top Five: 💡 𝗡𝗲𝘄 𝗟𝗮𝘂𝗻𝗰𝗵 | 𝗕𝗹𝗮𝗰𝗸𝗥𝗼𝗰𝗸  The BlackRock CSI NCD AAA Index 7-day Holding Period Fund exceeded its fundraising cap of RMB5bn. Due to the oversubscription, a "final-day pro-rata confirmation" method was applied, with a final confirmation ratio of 73.3% 💡 𝗘𝘅𝗲𝗰𝘂𝘁𝗶𝘃𝗲 𝗛𝗶𝗿𝗲 | 𝗔𝗹𝗹𝗶𝗮𝗻𝗰𝗲𝗕𝗲𝗿𝗻𝘀𝘁𝗲𝗶𝗻 AllianceBernstein (China) has appointed Luo Dengpan as its new CEO, pending regulatory approval. Luo was previously China CEO for Vanguard and prior to that was chief executive of Da Cheng, a domestic fund management company. 💡 𝗛𝗼𝗻𝗴 𝗞𝗼𝗻𝗴 𝗦𝘂𝗯𝘀𝗶𝗱𝗶𝗮𝗿𝘆 | 𝗛𝘂𝗮𝘁𝗮𝗶-𝗣𝗶𝗻𝗲𝗕𝗿𝗶𝗱𝗴𝗲 Huatai-PineBridge Fund Management Co., Ltd. (Formerly AIG-Huatai) received regulatory approval to establish Huatai-PineBridge Asset Management (International) Co., Ltd. in Hong Kong with a registered capital of HKD100m. Registration of the new entity must be completed within 12 months from the date of approval. 💡 𝗗𝗶𝘀𝘁𝗿𝗶𝗯𝘂𝘁𝗶𝗼𝗻 | 𝗙𝗲𝗲 𝗥𝗲𝗳𝗼𝗿𝗺 Regulators are planning reforms to standardize sales service fees, such that investors holding A-class and C-class fund shares for the same fund over a year would pay equivalent subscription and sales service fees. Trailer fees are also expected to see minor adjustments, particularly for non-equity institutional offerings. 💡 𝗘𝗧𝗙𝘀 | 𝗔𝗨𝗠 𝗠𝗶𝗹𝗲𝘀𝘁𝗼𝗻𝗲 The Huatai-PineBridge Dividend ETF surpassed RMB20bn AUM. Established in November 2006, it was the first dividend-themed ETF to be listed onshore. The ETF has distributed dividends 17 times since its inception, with a cumulative payout of nearly RMB3.3bn.   #chinatopfive #zbenadvisors #assetmanagement #mutualfunds #ETFs #china #financialnews

Japanese equities shine at MPF Q1 2024 The latest Fast Mover Report unveiled new insights into the MPF market: - Witness the impressive performance of Japan equities, which was the best performing asset class within the MPF market in Q1 2024 - Reveal how the Japan equities asset class demonstrates remarkable efficiency in generating substantial returns, despite its smaller size compared to other equity funds These findings provide invaluable insights into the ever changing landscape of the Hong Kong MPF market. Don't miss out and stay informed! To get your hands on the full Fast Mover Report now: enquiry@mpfratings.com.hk #mpfratings #MPFFastMover #MPFRConsistentPerformers #MarketInsights #MPFMarketShare #MPFFundFlows #MPFNetReturns #MPFIndustry #pensionschemes #assetmanagement #investmentmanagement #mpf #investment #empf