Singapore’s UOB Asset Management is planning to launch three RQFII (Renminbi Qualified Foreign Institutional Investor) funds in Asia that will invest in China’s local-currency securities, the firm said in a statement.
The asset management unit of Singapore lender United Overseas Bank has been given the green light by Chinese regulators to invest in the country’s yuan bonds and stocks through the RQFII program, subject to a 1.2 billion yuan ($194 million) quota.
“As one of the foreign asset management companies with a local presence in China, Ping An UOB will be able to utilize our in-depth knowledge and on-the-ground insights to provide quality advice to clients and manage their investments better,” said Thio Boon Kiat, managing director and CEO of UOBAM.
The three funds — RMB Onshore Money Market Fund, RMB Onshore Bond Fund and RMB Onshore Equity Fund – will be managed by Ping An UOB Fund Management Company, the Singaporean firm’s joint venture with local Chinese firms based in the mainland.
UOBAM manages around 14.3 billion Singapore dollars ($10.8 billion) of clients’ assets outside of Singapore. That’s as of March 31 this year.
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