BEA Union Investment, winner of Asia Asset Management’s 2025 Best of the Best Awards, including Asian Bonds (3 years) and CEO of the Year (Hong Kong), identifies the company’s flexibility and agility, and effective global reach via its international partners as keys to success.
BEA Union Investment was jointly formed by Hong Kong’s Bank of East Asia (BEA) and Union Asset Management, the investment arm of Germany’s DZ Bank Group, in 2007.
As a Hong Kong-based manager with a unique international background, the company is well positioned to capitalise on local investors’ growing overseas investment demand as well as spearhead local insights for international investors, according to Janet Li, chief executive officer at BEA Union Investment.
With increasing market volatility driven by global geopolitical tensions and the uncertainties of central banks’ monetary policies, she notes that investors have become more risk-aware.
As such, BEA Union Investment is beefing up its investment processes, particularly in multi-asset and active equities to better cater to clients’ changing investment needs.
The company has also worked to minimise bureaucracy when it comes to launching new products, enabling the firm to stay ahead in navigating ever-changing market conditions.
Forward-thinking strategy
Under the leadership of Desmond Tjiang, who joined BEA Union Investment as chief investment officer, equities and multi-asset investment three years ago, the company has introduced quantitative strategies and artificial intelligence to help strengthen its dynamic portfolio rebalancing.
This investment enhancement will be ongoing, Li says, noting that this is important for the firm to keep abreast of market changes and client needs.
“Life cycle products are one of our major focuses,” Li says. “We continually review our product line-up to ensure they meet with investors’ pre- and post-retirement demands.”
She adds that investors prefer products that feature relatively high growth and high risk exposure in the accumulation phase. They also prioritise hybrid or tactical allocation funds when coming close to retirement age and choose dividend funds during the decumulation phase.
“As such, we have developed a diversified product suite to accommodate individuals’ demands at different stages of their life,” she says.
Aside from life cycle products, BEA Union Investment also joined hands with BEA to roll out an all-weather fund. The fund invests in a wide range of asset classes across equities, fixed income and alternatives. Li describes it as a balanced-risk approach and diversified portfolio that helps retail investors navigate the currently volatile market environment.
Meeting diverse investor needs
In contrast, institutional clients such as endowment funds, family offices and charities are keener on bespoke products due to their differing risk appetites.
To capture the investment trend, Li has taken on a review of the investment building blocks for institutional clients since taking the reins in September 2023.
The firm continues to optimise and diversify customised thematic, fixed income, and buy-and-hold strategies for institutional investors to meet their risk-adjusted return and liquidity objectives.
In parallel, the firm is more cautious in its offering of alternative funds, despite the private market having been on a bull run in recent years. Li notes the risk profile of these assets is too complex, particularly for the general public.
Active excellence
“We continue to focus on active investment as we aim to help our clients increase their asset value and beat market benchmarks,” she says.
On the company’s award-winning Asian bond strategy led by Pheona Tsang, chief investment officer for fixed income, Li highlights its fixed income team’s competent credit analysis, which has allowed its funds to successfully shun the debt-ridden Chinese property market during the debt default crisis.
