In this 3rd ATC-SBAI joint annual event, we are pleased to see leading investors, managers and other key market players together to discuss the latest development in China alternative investment sector, with a focus on changing regulatory environment including the new QFII rules and the opportunities and challenges for foreign investors looking to allocate in China.
A few key findings at the event:
- Leading global allocators with exposure to China alternative markets prefer “foreign local” and “local local” managers, valuing their on the ground network and local understanding;
- Hurdles in allocating to local managers include language barrier, cultural difference, difficulty in performance evaluation with a global standard, and lack of transparency in operations.
- New QFII rules provide a useful channel for global allocators to invest into Chinese PFM (Private Fund Manager) funds.
Expectations and challenges in allocating to Chinese managers