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China’s E Fund hires Europe’s Lemanik to manage UCITS fund

By Asia Asset Management  
December 5, 2019

Chinese asset management giant E Fund has hired Luxembourg-based Lemanik Asset Management to manage and distribute its high-dividend China UCITS fund in Europe.

Lemanik and E Fund’s international arm, E Fund Management (Hong Kong), will jointly manage the E Fund Greater China High Dividend Equity Fund across Europe.

Lemanik will “provide the regulatory supervision and oversight framework to control and support the fund’s operation and distribution”, the companies say in a joint statement on December 2.

The UCITS, or Undertaking for Collective Investment in Transferable Securities, fund was launched in Hong Kong in 2015, and had US$3.6 million of total net assets as of June 2019.

“With Lemanik’s expertise in the European markets and its wide range of value-added services, we’re convinced that they will be an extension of our team outside of Hong Kong and China,” Carter Shi, managing director of E Fund’s Hong Kong unit, says in the statement.

Lemanik has also tied up with other Chinese asset managers, including CSOP Asset Management and Fullgoal Asset Management, to manage and distribute their UCITS products in Europe.

Overall assets of UCITS funds rose 4.1% year-on-year to 10 trillion euros ($11 trillion) as of March 2019, according to latest figures from the European Fund and Asset Management Association.

Lemanik has over 30 billion euros of assets under management currently.

Guangzhou-based E Fund managed around 1.3 trillion RMB ($183.9 billion) of assets as of September 2019. It does not disclose figures for the Hong Kong unit.