Schroder Investment Management (Shanghai) Limited (Schroders Shanghai), the wholly foreign-owned enterprise (WFOE) of Schroders plc in Mainland China, announced the launch1 of the Schroder PFM China Multi Asset Income FOF No.1 (施罗德中国多元收益一号FOF私募证券投资基金), the second multi-asset strategy in its domestic private fund range. The move builds on the momentum of Schroders’ private fund offering and reinforces its commitment to the Chinese market.
The new multi-asset private fund has a relatively conservative investment approach compared to its sister fund that was launched in August. As investors in Mainland China continue to look for more diversified investment options, Schroders believes offering multi-asset investment solutions that cater to different levels of risk appetite can give investors greater flexibility in their financial planning and meeting their investment goals.
The fund, managed by Shanghai-based Evan Zhou, Fund Manager, Multi-asset, draws on Schroders’ more than 70 years of experience in global multi-asset investments. Evan is supported by a local research team and the resources of the Schroders global multi-asset team, which comprises of more than 100 investment professionals and manages over US$95 billion2 of assets globally.
Evan Zhou, Fund Manager, Multi-asset, Schroders China, said: “If we look at the recent domestic market, A-shares have been range-bound amid uncertainties on macroeconomic outlooks and trade negotiations. Nonetheless, we notice some signs of stabilization on both fronts and remain cautiously optimistic due to more proactive counter-cyclical policies. On the other hand, Chinese sovereign bonds offer relatively attractive yields and valuations versus its global peers and we believe foreign inflows is sustainable. Given the mix of factors contributing to the current market environment, we see that maintaining a diversified portfolio would be beneficial.“
David Guo, Chief Executive Officer, China, Schroders, said: “The addition of a second multi-asset solution to our domestic private fund range is a reflection of our ongoing commitment to addressing Chinese investors’ needs. Our 2019 Global Investor Study3 showed that 77% of Chinese investors prefer multi-asset funds considering how unpredictable and volatile markets can be. This is one of the ways we keep our finger on the pulse of what investors are thinking and be ready to offer the most relevant investment solutions at the most appropriate time. We could only achieve this with a solid team of on-the-ground experts who understand the local nuances and can draw on the experience of our global network. As we celebrate our 25th year in Mainland China, we will continue to innovate and maintain our status as a trusted partner to Chinese investors.”
In total, Schroders now manages six onshore products in China. It launched the Schroder PFM China Multi Asset Dynamic Allocation FOF No.1 (施罗德中国多元动态配置一号FOF 私募证券投资基金) in August 20194, and introduced the Schroder PFM China Equity Alpha Youxuan No.1 (施罗德中国股票优选一号私募基金), Schroder PFM China Credit Bond No.1 (施罗德中国信用债券一号私募基金), and Schroder PFM China Macro Bond No.1 (施罗德中国宏观债券一号私募基金) in May 20195. Its first private fund, the Schroder PFM China Total Return Zhihui No.1 (施罗德中国智汇一号私募基金), was launched6 in June 2018.
1 Schroder PFM China Multi Asset Income FOF No.1 (施罗德中国多元收益一号FOF私募证券投资基金) was filed with Asset Management Association of China on 14 October 2019.
2 Data as at 30 June 2019.
3 In April 2019, Schroders commissioned Research Plus to conduct an independent online survey of 25,743 investors around the globe, including 1,169 investors in Mainland China. This research defines “investors” as those who will be investing at least €10,000 (or the equivalent) in the next 12 months and who have made changes to their investments within the last 10 years.
4 Schroder PFM China Multi Asset Dynamic Allocation FOF No.1 (施罗德中国多元动态配置一号FOF 私募证券投资基金) was filed with Asset Management Association of China on 6 August 2019.
5 Schroder PFM China Equity Alpha Youxuan No.1 (施罗德中国股票优选一号私募基金), Schroder PFM China Credit Bond No.1 (施罗德中国信用债券一号私募基金), and Schroder PFM China Macro Bond No.1 (施罗德中国宏观债券一号私募基金) were filed with Asset Management Association of China on 17 May 2019.
6 Schroder PFM China Total Return Zhihui No.1 (施罗德中国智汇一号私募基金) was filed with Asset Management Association of China on 4 June 2018.
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.