Two firms, one in Hong Kong and one being a China-based asset manager, have started their strategic partnership by launching a bond fund.

Standard Life Investments (Hong Kong), part of UK-listed Standard Life, and China-based Bosera Asset Management (International) have jointly launched a bond fund as part of a new strategic relationship.

The fund goes by the name of Bosera-Standard Life Investments Emerging Opportunities Bond Fund. It is a sub-fund of Bosera Investment Funds, an umbrella unit trust established under Hong Kong law. The fund goes after income and capital appreciation through primarily investing in global emerging market debt securities and emerging market currencies.   

Manager of the fund is Kai He, head of fixed income at Bosera International. He takes control of portfolio allocation in mainland China and Hong Kong, and investment management of the fund overall. The sub-manager of the fund is Richard House, head of emerging markets fixed income at Standard Life Investments, who will manage portfolio allocation in emerging markets globally except mainland China and Hong Kong, a statement from the firms said yesterday.

Launched in Hong Kong, the dollar-denominated fund seeks to achieve its investment objective by investing at least 70 per cent of its net asset value in a wide spectrum of bonds issued by governments, quasi-government entities or corporations in emerging market countries and emerging market currencies globally. It may also invest up to 20 per cent of its net asset value in bonds issued and/or guaranteed by a single sovereign issuer (including its government, public or local authority) which is below investment grade and/or unrated.