“The development of Barings’ Hong Kong-domiciled fund range positions us to take advantage of the mutual recognition platform between Hong Kong and China and the increased demand for locally domiciled funds that we expect to follow,” said Gerry Ng, chief executive of Asia ex-Japan at Baring Asset Management in Hong Kong, in response to today’s announcement.
Currently, only general equity funds, bond funds, mixed funds, unlisted index funds and physical index-tracking exchange traded funds would be eligible under the scheme, the SFC said.
This announcement comes just six months after the launch of the Hong Kong-Shanghai Stock Connect program which provides a ‘through-train’ between the two stock markets.
The Hang Seng index shot up to a seven year high last month after the requirement for a qualified domestic institutional investor (QDII) licence was removed.
