Aberdeen Asset Management is offering investors greater exposure to China's increasingly attractive equities space.

Scotland's Aberdeen Asset Management has launched a China A-share fund to focus on long-term growth in mainland China. 

The Luxembourg-domiciled Aberdeen Global – China A Share Equity Fund will focus on consumer, healthcare and travel companies – sectors that are less dominated by state-owned enterprises, the firm said.

The new offering comes at a time of increased accessibility to Chinese equities. The recently-launched Hong Kong/Shanghai stock market link and the widening of investment quotas has made it more attractive for fund managers to play in these markets. (See here for more on this.)

The fund is aimed at investors in Singapore and Hong Kong, with a minimum investment of $200,000. It will be run by the firm's Asian equities team who, based in Hong Kong and Singapore, have been investing in China since the 1980s.

Through the Chinese RQFII licence granted to the company last year, the fund will invest in 25-30 Shanghai- and Shenzhen-listed companies with what it views as promising long-term growth prospects.

Aberdeen highlights that the 25-year growth low that China's economy has slid to will work in investors' favour as the country's flourishing private sector will create a more market-based pricing environment, as well as increased competition and transparency.

“While we are excited about its potential, China is going through a complex adjustment. A strategy of focusing on quality of growth is right but there will be legacy issues for years to come in the shape of bad debt, corporate malfeasance and even outright fraud,” said Aberdeen's head of Chinese equities, Nicholas Yeo, in a statement.

“So with this fund we are not saying now is the right time to buy the market, but asking investors to consider China as a long-term proposition – one, furthermore, we have been working on indirectly for many years through the build-up of our team and mainland research. China may be a massive country but it is very much an emerging market that demands discipline and patience.”