VL China Fund A Acc HKD

以立中國基金 A類 Acc 港元

HK0000262953

Risk Rating: Level 5

iFund risk rating methodology is a qualitative and quantitative assessment of a single fund’s geographic and asset class focus, investment style and any potential risk factors, as measured from one (1) (lowest risk) to six (6) (highest risk). For the funds with risk rating five (5) or six (6), these are mainly aimed at providing capital appreciation to investors by investing primarily in single market equities, single industry equities or derivatives etc. For more details, please refer to the Due Diligence section under the Procedures page.

On Holiday

Dealing Information

Secure Transaction

Derivatives knowledge not required

HKD50,000.00Min. Subscription

1.5%

HKD50,000.00Min. Subscription

HKD

HKD50,000.00Min. Subscription

HKD50,000.00

HKD50,000.00

Daily

15:30

-

*Not include dividends (If applicable)

Fund Performances (including dividend, if any)

1 mth
+3.48%
3 mth
+11.04%
6 mth
+8.07%
1 yr
+19.10%
3 yr
+19.09%
5 yr
-

Analytical Figures (3 years)

Annualized Return
+6.00%
Annualized Volatility
+17.27%
Sharpe Ratio
+0.25

Fund Information

Fund Houses
VL ASSET MANAGEMENT LTD.
Launch Date
2015-08-09
Fund Manager
VL Asset Management Limited
Manager Start Date
Team Managed
Geographical Focus
China
Asset Class/ Sector
Equity - All cap
Risk Rating
Risk Level 5

iFund risk rating methodology is a qualitative and quantitative assessment of a single fund’s geographic and asset class focus, investment style and any potential risk factors, as measured from one (1) (lowest risk) to six (6) (highest risk). For the funds with risk rating five (5) or six (6), these are mainly aimed at providing capital appreciation to investors by investing primarily in single market equities, single industry equities or derivatives etc. For more details, please refer to the Due Diligence section under the Procedures page.

Fund AUM(As of )
-
Management Fee
1.5%
Latest Dividend
N.A.

Sector Leaders

    No Funds

Dealing Information

Secure Transaction

Derivatives knowledge not required

HKD50,000.00Min. Subscription

1.5%

HKD50,000.00Min. Subscription

HKD

HKD50,000.00Min. Subscription

HKD50,000.00

HKD50,000.00

Daily

15:30

-

Dividend Records

No Dividends

Investment Objective

The investment objective is to provide long-term capital appreciation by investing in a diversified portfolio of equity securities of companies in different industry sectors whose primary business focus is in the China region.

Nature and Extent of Risks

Investment involves risks. Please refer to the Explanatory Memorandum for details including the risk factors.
1. Investment risk
The fund is an investment fund. There is no guarantee of the repayment of principal.
The fund’s investment portfolio may fall in value and therefore your investment in the fund may suffer losses.
2. Concentration risk
The fund’s investments are concentrated in China and Hong Kong. This may result in greater volatility than portfolios which comprise broad-based global investments.
3. Risk of investing in China
Investing in China involves a greater risk of loss than investing in more developed markets due to, among other factors, greater political, tax, economic, foreign exchange, repatriation, liquidity and regulatory risks.
The stock markets in China are still in a stage of development, which may lead to uncertainties and difficulties in settlement and recording of transactions and in interpreting and applying relevant regulations. These may lead to a higher level of volatility and instability associated with investments in these markets.
The financial reporting standards and practices applicable to PRC companies may be less rigorous. As the disclosure and regulatory standards in the PRC are less stringent than in more developed markets, there might be substantially less publicly available information about issuers in the PRC on which the Manager can base investment decisions.
4. Risks relating to Shanghai-Hong Kong Stock Connect (the “Stock Connect”)
Stock Connect and the relevant regulations are evolving and subject to change. There is no certainty as to how they will be applied.
Stock Connect is subject to quota limitations, with an aggregate cross-boundary investment quota as well as a daily quota which does not belong to the fund and can only be utilised on a first-come-first-serve basis. This may restrict the fund’s ability to invest in A-shares through the programme on a timely basis.
If a suspension in the trading through the programme is effected, the fund’s ability to access the PRC market through the programme will be adversely affected.
The Hong Kong Securities Clearing Company Limited (the “HKSCC”) is the nominee holder of securities acquired by Hong Kong and overseas investors through Stock Connect. Although the relevant Stock Connect rules expressly provide that investors enjoy the rights and benefits of any such securities, the application of such rules is untested and there is no assurance that PRC courts will recognise such rules. Further, HKSCC as nominee holder has no obligation to take any legal action or court proceedings to enforce any rights on behalf of investors. Therefore, although the fund’s ownership of such securities may be ultimately
recognised, the fund may suffer difficulties or delays in enforcing its rights.
The programme requires the development of new information technology systems on the part of the stock exchanges and exchange participants and may be subject to operational risk.
The disruption of such systems may adversely affect the fund’s ability to access the PRC market through the programme.
5. Equity securities related risk
Equity markets may fluctuate significantly with prices rising and falling sharply, and this will have a direct impact on the fund. When equity markets are volatile, the fund’s net asset value may fluctuate substantially. The net asset value of the fund may be adversely affected in the event of a market downturn.
6. China tax risk
The fund may be exposed to risks associated with changes in current Chinese tax laws, regulations and practice (which may have retrospective effect).
Having consulted independent tax adviser, the Manager has not made and currently has no intention to make provision in respect of potential tax liability on gains on trading of BShares.
Further, having taken and considered independent professional tax advice and in
accordance with such advice, the Manager will also not make any withholding income tax provision for the account of the fund in respect of any potential PRC tax liability on gross unrealised and realised gains realised on the fund’s trading of A-shares. In the event that such tax liability is imposed, the relevant amounts will be deducted from the fund’s assets which may consequently reduce the value of the units.
7. Foreign exchange risk
An investment in the fund may involve exchange rate risk. The investments of the fund may be denominated in currencies other than the base currency of the fund (which is HKD), including the RMB. The RMB is not freely convertible and subject to exchange controls and restrictions. There is also no guarantee that such other currencies will not depreciate.
Fluctuations in the exchange rates between such other currencies and the base currency as well as associated fees and charges may have an adverse impact on the performance of the fund.
8. Performance fee risk
Performance fees may encourage the Manager to make riskier investment decisions than in the absence of performance-based incentive systems.
There is no adjustment of equalisation credit or equalisation losses on an individual unitholder basis. This method of calculating performance fee gives rise to the risk that a unitholder redeeming units may still incur performance fee in respect of the units, even though a loss in investment capital has been suffered by the redeeming unitholder.
9. Derivatives risk
The Manager may from time to time utilise derivatives for the purpose of hedging only.
These instruments can be highly volatile and expose investors to a high risk of loss. There is also no guarantee that the use of financial derivatives instruments for hedging purposes will be effective and the fund may be subject to substantial loss.

Manage your asset round-the-clock

Hotline

852
3896 3896

1501, 15/F, 101 King's Road,
North Point, Hong Kong

Mon - Fri (excluding public holidays)
09:00 - 18:00

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