RHB China Bond Fund, a feeder growth fund that aims to maximise total returns by investing at least 95 percent of the net asset value in BlackRock Global Funds – China Bond Fund (“Target Fund”).
The Target Fund principally invests in RMB-denominated fixed income and non-RMB denominated securities issued by entities exercising the predominant part of their economic activity in China. The Target Fund may invest in the full spectrum of available fixed income transferable securities, including non-investment grade in both onshore and offshore China bond markets.
Recognising the vast potential of China as a leading economic powerhouse in Asia and being the world’s second largest economy, RHB is working closely with BlackRock to expand its distribution and product capabilities, thus enabling investors’ access to market trends and capitalise on the investment opportunities available in China across different asset class.
The partnership is a testament to RHBGAM’s commitment to deliver a wider range of product and service capabilities to investors, and will provide customers with access to global markets, putting investors at the forefront of high-performing funds. RHBGAM, a wholly-owned subsidiary of RHB Investment Bank Berhad (“RHBIB”), offers both conventional and Islamic products with asset under management (AUM) of RM49.2 billion (USD11.9 billion) as at 31 May 2019.
Eliza Ong, Managing Director/Chief Executive Officer, Regional Head of RHB Group Asset Management says, “In offering our investors future-oriented investment opportunities, our partnership with BlackRock demonstrates our commitment to expand investors’ access to other markets and various asset class. Through this fund, investors will be able to tap on the opportunities and potential of the China market, capitalising on China’s growth as one of the fastest growing economies in Asia. We target to achieve a subscription of funds of approximately RM100 million by the end of 2019.”
“As we pursue our aspirations to be a leading fund house in ASEAN, we will continue to explore the opportunities available in ASEAN as well as across the global landscape, to assist our clients in their wealth accumulation and preservation goals,” she adds.
The Fund was launched on 15 May 2019 with five currencies classes. The classes of the Fund are RM class, RM-Hedged class, RMB class, USD-Hedged class and AUD-Hedged class.