Eurizon SLJ Capital offers exposure to Renminbi bond market and local currency EMD with double fund launch

Chinese bond market 'too big to ignore'

Eurizon SLJ Capital has launched a Renminbi (RMB) bond fund to take advantage of China’s $17trn bond market, and a local currency emerging market debt fund, as local currency sovereign bond issuance "now vastly exceeds" dollar issuance.

The Eurizon SLJ Bond Aggregate RMB fund will be managed by Stephen Li Jen and Monica Wang and is based on a similar strategy launched in 2018. The London-based asset manager of Eurizon said the new fund will invest in a diversified set of Renminbi-denominated debt instruments traded on the China Interbank Bond Market, or in other regulated markets in China and Hong Kong, and will use an FX overlay to contribute alpha by "potentially enhancing the return as well as defending against adverse shocks". Schroders manager Wilson joins Eurizon SLJ Its benchmark is the Bloomberg Barclays C...