Value Partners, a Hong Kong based fund group, has said it plans to roll out its own-branded cross-border private funds in China’s domestic fund market.
The group already had a presence in China, through a part acquisition of a local fund management firm. The group announced that it was selling its 49% equity interest in Goldstate Capital Fund Management to a company under Yunnan Jiutian Investment Enterprises for RMB 45 million ($7 million). It had teamed up with GoldState in 2012.
The group’s wholly foreign owned enterprise in Shanghai, has obtained a qualified domestic limited partner (QLDP) license and an initial quota of $100 million to manage cross-border private funds.
With the license, Value Partners plans to offer more overseas investment opportunities and investment advice, as well as launch its own-branded funds, through its WFOE platform.
In terms of clients, the group is eyeing the fast-growing pool of assets of institutional investors and high-net-worth individuals in mainland China.
Prepping for a new launch
The group is currently preparing to launch its first QDLP fund before the end of the year. The QDLP fund will be aimed at yield-chasing investors who are seeking to diversify their investments across Asia.
In addition, Value Partners has also submitted an application to participate in the Mainland-Hong Kong Mutual Recognition of Funds program.