19/05/2011
Fidelity creates a new fund based on Chinese domestic consumer demand
On Wednesday, 18 May, the French regulator issued a sales license for France for the Luxembourg-registered fund China Consumer Demand from Fidelity International. The objective for the OPCVM fund, launched on 23 February, is to “offer investors for the first time a way to participate in changes taking place in China, which as the world’s largest exporter, is now becoming a champion of global consumer demand.” As the manager, Raymond Ma, who is based in Hong Kong and relies on the assistance of five analysts specialised in Cohinese consumer demand, explained in Paris on Tuesday, 10 May, “domestic consumer spending is turning into the main driver of economic growth in the most populous country on the planet. It is now at a stage which Japan reached at the end of the 1960s, and South Korea reached in the late 1980s.” The Fidelity China Consumer Demand Fund (80-120 positions) invests directly in shares in Chinese, Hong Kong and Taiwan companies, which develop, produce or sell goods or services aimed at Chinese consumers. The positions are retained for a period of 12 to 18 months. As of the end of 2010, Fidelity managed USD55.7bn in the Asia-Pacific (ex Japan) region, of which USD20bn were in China.
