Funds News
- China Southern QDII fund well received
Date: 14-Sep-2007 Sources: (Shenzhen Daily)
CHINA Southern Fund Management Co. said Thursday it has cut short the subscription period for its first overseas investment fund after raising more than 15 billion yuan (US$1.98 billion) on the opening day.
China Southern Fund is only the second company, after Hua An Fund Management Co., to launch a product under China's overseas investment program, often referred to as the Qualified Domestic Institutional Investor (QDII) program.
The program allows funds to raise cash in yuan or foreign currency to invest abroad in a broad range of assets, including stocks and other securities.
Last week, China's foreign exchange regulator granted Shenzhen-based China Southern Fund an initial quota of US$2 billion for its QDII product.
The company had set the fund's subscription period to run from Wednesday to Sept. 28. 'Because of the strong demand from investors, the fund has raised its targeted 15 billion yuan on the first day of sale and the fund won't accept any subscriptions from today,'China Southern Fund said in Thursday's statement.
Through the product, China Southern Fund said it will pool local investors' money in yuan and invest in 10 overseas securities markets. The 10 markets are the United States, Japan, Hong Kong, Switzerland, Italy, Russia, India, Brazil, Malaysia and South Korea, it said.
China Southern Fund said that it has applied to the foreign exchange regulator for an additional quota for its QDII products.
Sponsor Results:
