China's Yinhua to launch $2 bln QDII fund -source
SHANGHAI, April 10 (Reuters) - China's Yinhua Fund Management Co plans to launch a fund for subscription on April 21 to raise up to $2 billion for investments in global capital markets, a company source said on Thursday.
This would be the seventh such fund to be launched by a domestic fund house under the country's Qualified Domestic Institutional Investor (QDII) scheme -- aimed at giving domestic residents more investment opportunities and promoting a better balance in China's international payments.
A roadshow has started in major Chinese cities, the source told Reuters, adding that the firm had received regulatory approval to raise up to $2 billion for the product.
A company spokewoman confirmed that Yinhua was currently preparing to launch a QDII fund -- which will invest no less than 60 percent of its proceeds in overseas mutual funds.
The company, which had a total of more than 90 billion yuan ($12.85 billion) in assets under management at the end of 2007, has hired Morgan Stanley (MS.N) as one of its investment advisers for the QDII fund, she added. ($1=7.001 Yuan) (Reporting by Helen Ding; Editing by Edmund Klamann)
