Indian mutual fund houses are continuing to launch funds for investments in China. Following the footsteps of JP Asset Management Company, Mirae Asset Global Investment (India) on Wednesday floated its China fund. JP Asset in July launched Greater China Equity Offshore Fund, which collected Rs 53 crore out of the total Rs 400 crore garnered by overseas-bound funds.
These funds, which aim to provide long-term capital appreciation, have attracted interest from corporates, institutions as well as retail investors. The JP Morgan fund will invest in JF Greater China Equity Fund, which invests primarily in a diversified portfolio of companies in the greater China region.
Krishnamurthy Vijayan, executive chairman of JP Morgan Asset Management Company, said, ?The fund did quite well and we hope to raise more money in the coming few months. The main purpose was to give the Indian investor access to China.?
Arindam Ghosh, CEO, Mirae asset global investments (India) Pvt Ltd, said, ?We are pleased to launch Mirae Asset China Advantage Fund for the Indian investors, thereby meeting their asset allocation needs. China is poised to lead the world out of the global slowdown, backed by its domestic consumption and stimulus push from the government.? The Mirae Asset China Advantage Fund, an open-ended equity scheme, which will be benchmarked against MSCI China Index, will close on October 9. The fund offers a regular plan with dividend, which consists of payout & reinvestment types, and growth options, with the minimum application amount for the regular option being Rs 5000. Dhirendra Kumar, CEO of Valueresearch Online, said, ?In the current market scenario, investors are upbeat about China, and fund houses are providing a chance for the investors to invest in China.?
Byung Ha Kim, fund manager at Mirae?s China Sector Leader Equity Fund, said, ?With this fund, we aim to offer an opportunity to Indian investors to benefit from the growth potential of local Chinese companies.?