The CEO of BEA Union Investment discusses where progress is being made and where further liberalisation is likely in respect of the Hong Kong-China cross-border fund scheme.
The Hong Kong fund house is making its first foray into digital distribution by partnering Tianhong to sell a bond and currency fund under the mutual recognition scheme.
Fund firms suspect high distribution costs in China will generate thin margins in the scheme's early days, but having to hire a distribution agent could help as they consider how to scale up.