Manulife Asset Management Hong Kong will introduce a new fund to its mandatory provident fund account platform from 16 December.
The Manulife MPF RMB Bond Fund, launched under the Manulife Global Select Scheme, seeks to provide members with a competitive overall rate of return through income generation and potential capital appreciation.
The fund invests in Renminbi-denominated debt securities issued, traded or distributed by governments, banks and corporations outside Mainland China. The management fee is at 1.15% of the net asset value per annum.
“As the second largest MPF service provider in Hong Kong, Manulife is committed to providing choices to our MPF members who have diverse investment appetites,” said Luzia Hung, chief executive officer, Manulife Provident Funds Trust Company.
“With the addition of this fund, our platform now has the most comprehensive MPF bond fund options, ranging from single market to regional and international.”
With the launch of the Manulife MPF RMB Bond Fund, Manulife’s fund platform now offers 27 funds, spanning equity funds (international, regional, single country and sector), bond funds, mixed assets funds (lifestyle and target date), guaranteed funds, an index-tracking fund and a money market fund.
The fund “enriches” Manulife’s MPF platform to cover most of the retirement investment spectrum and is designed for members who hold a longer term investment view and aim to seek returns through capital appreciation and income generation, the asset manager said.
“At Manulife, we are proud of having a strong agency distribution network of more than 4,600 registered and well trained MPF intermediaries, who are dedicated to providing personalized supports and professional services to assist employers in managing their MPF schemes with ease and members in planning and making sound decisions on their retirement savings,” added Hung.
The new fund aims to address increased customers’ interest in RMB-related investments, especially dim sum bonds, which have been gaining popularity amid expectations of continued appreciation of the Renminbi, Hung said.
Manulife offers provident funds services in Hong Kong through three of its operating companies: Manulife (International), Manulife Provident Funds Trust Company and Manulife Asset Management (Hong Kong), all members of the Manulife Financial Group.
The funds under management of Canada-based Manulife Financial and its subsidiaries were C$575bn (HK$4,333bn, £329.76bn) as of 30 September. The company operates as Manulife Financial in Canada and Asia and primarily as John Hancock in the United States.
Manulife Asset Management is the global asset management arm of Manulife Financial, managing assets worth US$258bn (£156.95bn).