(China Alert) The dawn of multi-asset solutions
- FOF
-This is a relatively new concept in China but recent guidelines are changing this
-Products will be able to target Chinese institutional capital
-Foreign firms could build on global product design expertise
Update: Multi-asset solutions are ubiquitous globally, yet are relatively unseen in China. Until now. As a result of new fund of fund (FoF) guidelines, we could see several such product applications as early as next week. Z-Ben Advisors believes that the primary purpose is to better cater to institutional demand – something certainly not in short supply, and currently underserved by the suboptimal range of offerings. We believe that certain foreign managers onshore should be able to import their global experience and take an early lead.
The growth of institutional mandates has been a key trend in the Chinese asset management industry over the past year. New FoF guidelines should launch the multi-asset solutions business onshore allowing managers to design better products, putting them in a prime position to attract institutional investment. Z-Ben Advisors has observed …
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