Fourth stock QDII fund announced

Updated: 2007-10-09 16:32
The Asia-Pacific predominance fund, managed by China International Fund Management Co Ltd, won approval from the Chinese securities watchdog yesterday, the Shanghai Securities News reported today.
The fund focuses on markets in the Asia-Pacific such as securities markets in Australia, South Korea, Chinese Hong Kong, India, and Singapore, with the exception being Japan. Some 60 to 100 percent of the fund will be invested in stock, and the remainder will go to other short-term financial products, including bonds and foreign exchange.
Following Southern Fund, Huaxia Fund and Harvest Fund, China International Fund will be the fourth stock-oriented qualified domestic institutional investor (QDII), and its fund will be the first regional stock-oriented QDII fund of China.
Industrial and Commercial Bank of China assumes the role of primary agent and trustee of China International Fund's Asia-Pacific predominance fund, which is also available through China Construction Bank, Bank of Communication, and China Merchants Bank.
The minimum subscription amount is 10,000 yuan (US$1,330).
Yang Yifeng, the manager of this Asia-Pacific predominance fund, suggested they expect substantial returns from the world’s most active economic entity and its booming stock markets.
Furthermore, while most of the currencies in this region have appreciated against US dollars over the past couple years, Asia-Pacific is also a best option in minimizing risks related to renminbi appreciation.
Incorporated in May 2004, China International Fund Management Co Ltd is a joint venture between Shanghai International Trust and Investment Co Ltd and JPMorgan Fleming Asset Management Ltd, a part of JPMorgan Chase Group.
Wang Hongbin, the general manager of China International Fund, said the platforms for overseas market investment, transaction, clearing, and accounting are under construction.

<---------- Seems like alot of Chinese funds will be coming to other part of Asia, esp. HK and SG. Good news to the stock markets here.