UOB Asset Management Ltd (UOBAM), a wholly-owned subsidiary of the Singapore-based United Overseas Bank Limited, announced on Monday that the assets under management (AUM) of its two China-focused funds have crossed over $1 billion in two years.
The two funds are dubbed the United China-A Shares Innovation Fund and the United China-A Shares Consumption Upgrade Fund.
UOBAM revealed in a statement that the capital commitments are from Japan, Malaysia, Singapore, and Thailand, without disclosing the investors. Meanwhile, more than a third of the total AUM was raised in the second half of 2020 as China recovered from the COVID-19 pandemic.
Ping Fund Management Company (Ping An FMC) is the investment advisor of the two UOBAM funds.
Ping An FMC is a 10-year joint venture between UOBAM and Ping An Trust Co., Ltd (Ping An Trust), a Shenzhen-based private equity management firm. The JV helps UOBAM facilitate investments in China. Ping An FMC had a portfolio of 110 million clients with AUM reaching 600 billion yuan ($93 billion) in 2020.
As of April 29, 2021, the United China-A Shares Innovation Fund had clocked returns of 143.13%, and the United China-A Shares Consumption Upgrade Fund had registered 32.71% returns.
“This symbolises a milestone in our ongoing strategic partnership with Ping An FMC. We will continue to help more individual and institutional investors across the region access Ping An FMC’s expertise and resources in China for more investment opportunities in the country,” said UOBAM chief executive officer and Ping An FMC Director Thio Boon Kiat in the statement.
Since its inception in 1986, UOBAM has been engaged in investment schemes and discretionary funds in Singapore. As of March 31, 2021, it managed about $37.7 billion in assets under 59 unit trusts in Singapore and four subsidiaries.