MAS names sustainability head; Malaysia’s EPF appoints COO and CFO; GIC PE head for SEA leaves; State Super hires new exec; Hesta appoints chief growth officer, chief Debby Blakey appointed to corporate governance board; ex-BlackRock exec joins IQ-EQ in Singapore; HSBC AM builds direct real estate team; ex-Vanguard head of distribution joins LGIM; Sanne names Singapore head; and more
Hyperbole aside, the A-share market's recent performance suggests that, while not quite "unlimited", it does at least have the potential to continue its very strong growth. The challenge for many investors is how to go about tapping into that growth.
Lyxor's China A Fund aims to broadly track the S&P/Citic 50, which represents the largest and most liquid stocks in China's A-share market, as decided by Standard & Poor's and Citic. So far this year, the index has already risen by considerably more than 100% and is about 185% up year-on-year. That represents a significantly better return than the comparable FTSE/Xinhua A50 index.
That said, the fund is not intended to be a straight index tracker. It will invest at least 70% of investors' money in a structured note that will closely mimic the performance of the index, but the rest of the portfolio will be invested in more liquid offshore securities û such as H-shares, red chips and related exchange-traded funds û that will provide some correlation to the A-share market but which can be traded more freely.
The fund launched on July 23 and is distributed by Bank of China, Chiyu Bank, DBS, Hang Seng Bank, HSBC, Nanyang Commercial Bank and Standard Chartered. It is denominated in US dollars and the minimum investment is $3,000. The management fee is 1.25% a year.
The AU$85 billion ($61.6 billion) Australian super fund has some exposure to indebted property developer Evergrande. Meanwhile, China’s construction finance is part of its core strategy in real estate.
Investors are seeing the risks, but also the opportunities of the logistics sector. Warehousing their fears for the moment, they can see it's a good conduit to high-growth assets.
Insto roundup: GPIF staff say J-Reits more attractive than traditional assets; Hong Kong's strict Spac criteria
EISS Super hit by another scandal; China's CSRC launches consultation on disclosure requirements for new BSE securities; Hong Kong issues consultation paper on Spacs; New World Development partners with China Taiping to focus on Greater Bay Area projects; GPIF employees say Japanese Reits have grown more attractive; Taiwan's BLF invites bid for $1.7 billion mandate; and more
SGX’s new framework for Spacs will likely provide investors with a much-needed channel for direct deals, but the verdict is still out on whether it will bring liquidity to the bourse.