Money

1st overseas RMB mutual fund to start taking subscriptions

(Xinhua)
Updated: 2010-08-10 15:24

HONG KONG - The first overseas renminbi-raised fund, the "Haitong Global RMB Fund" is expected to go on sale in Hong Kong on Aug 11, said the fund issuer Haitong Asset Management Company of Hong Kong on Monday.

The "Haitong Global RMB Fund" was officially approved by the Hong Kong Securities and Futures Commission to go on sale to Hong Kong retail investors on Aug 6.

Haitong Asset Management, the Hong Kong asset management arm of the mainland's leading securities brokerage Haitong Securities, revealed on Monday that the subscription period of the new fund is from Aug 11 to Aug 30.

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The company said the new fund is a retail open-end fund, requiring the least investment capital of 10,000 yuan ($1,476). With an issue scale of 5 billion yuan, the fund is denominated and quoted in renminbi.

As for the investment outlets, the fund will target overseas renminbi-denominated fixed-income products temporarily, including convertible bonds, negotiated term deposit, corporate bonds, policy bank debts and so on, said Lin Yong, the chief executive officer of Haitong Financial Holdings, a Hong Kong subsidiary of Haitong Securities.

He also said the company is prepared to invest in domestic renminbi-denominated bonds and some other debt instruments under the approval of regulators.