The investment objective of the fund is to maximise yield and seek long-term capital growth. The fund will carry a management fee of 1.25% per annum and an initial charge of up to 5% on the gross investment amount.
It will invest primarily in Asian high yield credits, Asian high yielding equities and other asset classes such as commodities and property securities. The reference benchmark for the fund is 50% MSCI AC Asia Pacific ex Japan Index and 50% JP Morgan Asia Credit Index.
The fund payout is targeted at 6% per annum monthly and the current model portfolio yield is approximately 6.7%. It is expected to launch on 27 June with an initial offer period of 7 June-27 June 2011. The fund’s currency is HKD and USD.