There is definite proof that sustainability-focused funds are outperforming their conventional counterparts. But some experts believe the traditional explanations for this are wrong.
Approvals were previously given to Pacific Antai Life Insurance, Sunshine Insurance, Anhua Agricultural Insurance and Allianz-China Life. These smaller players have not been allowed to invest directly into equities, however as they have yet to satisfy the CIRCÆs requirements of having an eight-year history and having more than Rmb10 billion ($1.43 billion) in assets.
The CIRC imposes a maximum 10% direct equity exposure of total assets for mainland insurers. It has not said if there is an overall quota applied to these outsourcing arrangements.
Peter Alexander, a principal at Z-Ben Advisors, says the direct equity exposure limit excludes QDII portfolio investments. He notes that many asset managers are expecting a windfall from assets of insurance companies even if many are still clueless about how the outsourcing will take shape.
According to Z-Ben Advisors, the domestic fund industry has seen a five-fold increase in fee income to Rmb28.2 billion ($4.03 billion) from Rmb5.7 billion ($820 million) last year. Despite competition from foreign fund management companies, local managers have a greater share of the fee income at Rmb16.1 billion ($2.3 billion).
Investors can still find spread premiums in niche private debt, with the asset class's prognosis looking strong, said a keynote speaker at AsianInvestor’s latest summit on Wednesday.
AsianInvestor details the second part of our marquee award winners for 2021, which includes the standout ESG adviser and also the asset manager of the year.
AsianInvestor reveals the first half of our marquee winners for this year's Asset Management awards, including best asset service provider and top alternative fund houses.
The number of millionaires in mainland China grew by 35% in 2020, while the number of millionaires in Hong Kong fell by 7%, according to a new report from the private bank.