East Capital has announced that its East Capital (Lux) – China Fund is the first Luxembourg domiciled UCITS fund permitted to invest up to 100% of its portfolio in A-shares via the Shanghai-Hong Kong Stock Connect.
It has received approval from Luxembourg’s Commission de Surveillance du Sector Financier (CSSF) to invest in A-shares through the programme, which complements its existing QFII quota.
The fund is up 19% in the last twelve months and has assets under management of US$20 million, plus a further US$148 million in managed accounts.
East Capital said it is now in a position to increase its allocation to Chinese domestically listed stocks in its portfolio. In addition, the East Capital (Lux) – Emerging Asia Fund can invest up to 30% of its portfolio through the programme.
East Capital’s Asian operations are managed out of Stockholm and Hong Kong. Karine Hirn, partner and co-founder of the company leads operations in Asia and heads their China business. Adrian Pop, who came to Asia from their Stockholm headquarters, is at the forefront of the portfolio management team for the China fund.
The firm also specialises in eastern European and Russian investment, and masterminding that business in Asia is Michael Hanson-Lawson.