Schroder Asian Asset Income Fund receives MRF northbound approval
Brings diversity to mainland investors with flagship multi-asset income product
Schroders announced today its Hong Kong domiciled Schroder Asian Asset Income Fund (AAI Fund) has been approved for sale in Mainland China under the Mutual Recognition of Funds (MRF) scheme. The move provides a new channel for Mainland Chinese investors to access Schroders funds and tap into Asian investment opportunities in a diversified long-term manner.
David Guo, Head of China Business, Schroders said: “As one of the first foreign asset managers to be active in China, we have continuously introduced innovative products and access to investment opportunities outside of China for retail and institutional investors. We observe that MRF northbound funds that exist in the market are typically either straight equity or bond funds. We are excited to offer mainland investors additional diversity with our Hong Kong flagship multiasset income product, which aims to capture both income and growth opportunities in equities and fixed income securities across Asia. ”
Lieven Debruyne, CEO, Asia Pacific, Schroders said: “China is an important part of our overall Asia business strategy, and the MRF scheme enables us to deepen our reach and further expand our presence in the country. The scheme complements our existing investment service provided to QDII funds in the market, and gives mainland investors further options in accessing international investments.”
The Schroder AAI Fund is an actively managed multi-asset fund with robust risk management when investing in Asian equities and fixed income assets. It aims to generate stable long-term income for investors by focusing on assets that provide sustainable yields. The Fund has HK$37.4 billion of AUM as of 31 March 2017.
Bank of Communications Schroder Fund Management Co., Ltd. (“Bocom Schroders”), Schroders’ Mainland China joint venture which was established in 2005, is the master agent for the Schroder AAI Fund on the mainland. The AAI Fund is expected to be sold through leading foreign and local distributors, including their relevant online platforms.
Ruan Hong, CEO, Bocom Schroders, commented: “As one of the pioneering asset managers in China, Bocom Schroders has built a sophisticated distribution network that reaches targeted investors in the market. The Schroder AAI Fund further enhances our product range and enables us to give Chinese investors additional access to Asian markets.”
The views and opinions contained herein are those of Schroders’ investment teams and/or Economics Group, and do not necessarily represent Schroder Investment Management North America Inc.’s house views. These views are subject to change. This information is intended to be for information purposes only and it is not intended as promotional material in any respect.