The photo shows a night view of Shanghai in eastern China. Photo: Xinhua
Shanghai Rayliant Jingchun Investment Management Company, controlled by Rayliant Global Advisors Limited, an internationally renowned leader in fundamental quantitative investing, has successfully completed registration as a foreign private equity fund manager in China. With this milestone, the company has become another foreign capital management institution entering the domestic market after BlackRock, Fidelity and many other institutions.
Rayliant is recognized worldwide for its research specializing in fundamental quantitative investing. With a management portfolio of $ 27 billion, the majority of the company’s main clients are professional institutional investors, including world-class pension funds, sovereign wealth funds and large asset management companies.
At present, A-share assets managed by the company’s systematic investment strategies have exceeded $ 10 billion.
BlackRock, another global asset management company, has established BlackRock Funds and a wealth management joint venture with China Construction Bank, which are the two main bodies of the company’s market arrangement in China.
In September, BlackRock Funds issued the first public fund in China.
According to Morningstar, an investment research firm, the fund giant is among the biggest buyers of debt for Chinese real estate developer Evergrande. After adding 31.3 million Evergrande bonds between January and August, total investment reached 1% of its Asian high yield bond fund assets of $ 1.7 billion.
On August 31, China Evergrande Group, the country’s indebted real estate developer, said there was 240 billion yuan ($ 37.15 billion) in debt owed within a year and that some projects had been put on hold for default. payment.
Other large fund companies, including Fidelity Investments, reduced their positions in Evergrande by up to 47% between January and July, Morningstar said.
“However, these foreign investment management institutions will not be too affected by the Evergrande incident,” Dong Dengxin, director of the Institute of Finance and Securities at the University of Science and Technology of China, said Thursday. Wuhan, to the Global Times, adding that these companies have longer-term investment products, including pensions and funds.
The government should promote the development and provision of medium and long-term investment products, instead of high-risk products like real estate investment in China, Dong added.
Dong also expressed his hope that these foreign investment management companies can provide more diversified options for domestic investors, which will complement the domestic market.