GUANGZHOU, China, March 11, 2024 /PRNewswire/ — In recent years, Chinese asset management companies are increasingly making their mark on the global stage by establishing overseas subsidiaries and engaging in collaborations with regional partners.
Against this backdrop, E Fund Management Co., Ltd. (E Fund), the largest fund manager in China recently entered into a memorandum of understanding (MoU) with BBL Asset Management Co., Ltd. (BBLAM), one of the largest asset managers in Thailand. This partnership aims to offer investors in Thailand and beyond enhanced access to Chinese capital market through an expanded portfolio of investment offerings and services.
The MoU Signing Ceremony at E Fund’s Guangzhou Headquarter
Thailand has witnessed a growing interest for foreign investment opportunities during the past years. In particular, Thai investors have shown a high enthusiasm for China investment and the size of investments in China funds exceeded US$4.3 billion by February 2024. However, the presence of Chinese onshore managers is not yet significant in Thai market.
"China is an important market for Thai investors given its close ties with Thailand, as we expand our investment scope into China, we believe that now is the time to increase and bolster the relationship with local asset managers such as E Fund to improve and expand on product offerings and performances through a local perspective. China, now one of the most appealing markets in the world represent an investment opportunity through continuous technological innovation, and industrial upgrading that is too hard to ignore. The market itself is underrepresented in the global indices and we envision an increase percentages towards China in the global markets going forward" said by Mr. Anak Kittivat, VP, Global Investment Management from BBLAM, "the current valuation of Chinese equity market makes it much more appealing and with E Fund’s extensive local investment expertise in the Chinese market we aim to leverage on our QFII license to access Chinese local funds and investment products directly, our objectives is to bring a wider and broader Chinese investment products to Thai investors and increase further collaboration with Chinese firms in this regards." He further adds.
The MoU was signed by Dr. Natthapachara Chiarawongse, CEO of BBLAM and Mr. Shawn Xinrong Woo, Co-CEO of E Fund.
"We are pleased to partner with BBLAM," said Mr. Shawn Xinrong Woo, Co-CEO of E Fund, "This partnership signifies our commitment to advancing our global development strategy and underscores our dedication to providing better services for global investors. By forging this partnership, we will strengthen our presence in Thailand and the broader Southeast Asian region and provide Thai investors insight and access to the Chinese market. Looking forward, we would like to bring a wider suite of solutions to our global clients as the markets continue to open up."
BBLAM’s CEO, Dr. Natthapachara Chiarawongse stated, "As a broadly-diversified investment management company, BBLAM offers Thai clients with a comprehensive global product lineup. Collaboration with the largest onshore fund house will certainly enhance our China product offering and our investors will benefit from E Fund’s local insights and investment capabilities."
Both companies are confident that this cooperation will create synergies, and is well-positioned to broaden market access, deliver long-term and sustainable value to clients, and strengthen ties between the Chinese and Thai asset management industries.
About E Fund
Established in 2001, E Fund Management Co., Ltd. ("E Fund") is a leading comprehensive fund manager in China with close to RMB 3 trillion (USD 421 billion) under management. It offers investment solutions to onshore and offshore clients, helping clients achieve long-term sustainable investment performances. E Fund’s clients include both individuals and institutions, ranging from central banks, sovereign wealth funds, social security funds, pension funds, insurance and reinsurance companies, to corporates and banks. Long-term oriented, it has been focusing on the investment management business since inception and believes in the power of in-depth research and time in investing. It is a pioneer and leading practitioner in responsible investments in China and is widely recognized as one of the most trusted and outstanding Chinese asset managers.
Source: E Fund. AuM is preliminary estimation and includes subsidiaries. Data as of Dec 31, 2023. FX rate is sourced from PBoC as at end of December, 2023
About BBLAM
BBL Asset Management Company Limited (BBLAM) is a broadly-diversified investment management company committed to offering investors superior performance. Founded in March 1992, the company has built its funds under management to approximately 865,578 million baht or 24 billion USD as of December 2023.
As an affiliated company of Bangkok Bank (BBL), the largest Thai commercial bank with 75% stake holding in BBLAM, BBLAM has received full support for fund raising though strong nationwide BBL’s branch network.
BBLAM offers and manages various type of fund across equity, fixed income, asset allocation strategies and real estate for institutional and retail clients. BBLAM manages 6 property funds, REITs and Infrastructure funds. The market value was approximately 82,120 million baht or 2,317 million USD (as of 31 Jan 2024), which are invested in several types of assets such as office buildings, retails, transportation, info & communication technology, and energy.
BBLAM’s success has been based on the core belief that active management delivers the best long-term returns. A distinctive stock selection approach seeking to generate alpha is central to BBLAM’s investment philosophy. The company believes that experienced professionals and disciplined investment process can consistently add value to portfolio.
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