Schroder Investment Management (Shanghai) Limited (Schroders Shanghai), the wholly foreign-owned enterprise (WFOE) of Schroders plc in Mainland China, announced the launch1 of a new multi-asset domestic private fund – 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).
The move closely followed the launch of three private funds in May 2019 and reinforces Schroders’ continued focus on offering innovative investment solutions to eligible high net worth and institutional investors in Mainland China. The new multi-asset private fund draws on Schroders’ more than 70 years of experience in global multi-asset investments, and forms part of the firm’s commitment to growing with the Chinese asset management industry as it celebrates this year its 25th anniversary of entering this important market.
The fund is managed by Shanghai-based Evan Zhou, Fund Manager, Multi-asset, with support from the 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: “Investors should always bear in mind the importance of diversification, and that taking a dynamic asset allocation investment approach could give them a smoother ride through different market cycles. Our multi-asset strategy leverages on our rigorous fundamental research and allows us to be flexible in pursuing investment opportunities in different asset classes and mitigate any unwanted risks.”
“Looking at recent market developments, ongoing global trade tension has caused Chinese A-shares to recede, but this has presented a buying opportunity of selective names for mid to long-term allocation. Risk aversion has driven down Chinese bond yields, but Chinese sovereign bonds offer relatively attractive yield and valuation as we enter a new round of global monetary easing. Overall, we remain positive but cautious on China’s economic outlook as stimulus measures continue to support growth. Against this mixed backdrop, a multi-asset strategy could be an appropriate investment approach for investors to consider,” Zhou added.
David Guo, Head of China Business, Schroders, said: “We are pleased with the pace of growth in our China onshore offering. Our ability to sustainably introduce relevant investment solutions to Chinese investors is the outcome of understanding our clients’ objectives, and our latest multi-asset product offering is the result of our ongoing effort in enhancing our on-the-ground investment capability. Acquiring the right local talent has been our growth strategy in Mainland China and we look to further expand our WFOE team in the coming months and years. Combined with Schroders’ 200 years of investment innovation, we will remain the long-term trusted partner in onshore and global investments for mainland Chinese investors.”
Today’s announcement brings the total number of Schroders private funds on offer to five. 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) were launched3 in May 2019, while the Schroder PFM China Total Return Zhihui No.1 (施罗德中国智汇一号私募基金) – its first – was launched4 in June 2018.
1 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.
2 Data as at 30 June 2019.
3 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.
4 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.