AMAC approved the launch of the first Pictet QDLP fund
The new fund will allow domestic investors in China to invest abroad in financially distressed and struggling companies, primarily in Europe.
Pictet Asset Management announced that its Shanghai WFOE (wholly foreign owned company) has received AMAC (Asset Management Association of China) approval to launch its first QDLP (Qualified Domestic Limited Partnership) product for qualified investors.
Pictet first opened WFOE – Pictet Private Fund Management (Shanghai) Limited – in November 2020 and successfully registered as a QDLP manager with AMAC in August 2021.
The QDLP program enables global asset managers to raise funds from domestic investors in China to invest in traditional and alternative assets abroad such as hedge funds, private equity funds and REITs. The program was first launched as a pilot in Shanghai in 2013.
About 50 global asset managers received QDLP licenses in Shanghai last year. At the end of April 2021, SAFE (State Administration of Foreign Exchange) announced that it was doubling the quota for the Shanghai QDLP pilot project from $ 5 billion to $ 10 billion.
The new fund – the Pictet Special Situation Private Securities Fund No.1 – is a long / short absolute return credit strategy focused on financially distressed and distressed companies, primarily in Europe.
“The launch of Pictet AM’s first private onshore fund in China is an important next step in expanding our business in China,” said Ms. Junjie Watkins, CEO of Pictet AM, Asia Ex-Japan. “We are committed to providing qualified investors in China with more diversified global investment opportunities over the long term. “
To date, Pictet Asset Management has invested in onshore China for global clients through the RQFII program, Stock Connect, Bond Connect and CIBM Direct Access. He has also cooperated with global banks based in China under the QDII program to enable Chinese institutions and high net worth individuals to access foreign markets.
In July 2020, Pictet AM launched its first fund north as part of the Mutual Fund Recognition Program (MRF).