Economy

Markets

Industries

Insights

Reports

Events

Mutual funds leap in 1st half, top US$198.4b

(Reuters)
Updated: 2007-07-02 12:24

The net asset value (NAV) of China's mutual funds had grown to 1.51 trillion yuan ($198.4 billion) by the end of June, up 77 percent from the end of 2006, the Shanghai Securities News reported on Monday.

Special coverage: Markets Watch Red Chips Return Related readings:  Stock regulator's action cuts number of mutual funds issued  Four mutual funds approved in attempt to stabilize market  Hedge funds invest US$50b in China's stock markets  New mutual funds subscriptions hit record

The data was compiled by domestic financial data firm Wind, which tracked 290 mutual funds run by 53 Chinese fund houses, the newspaper said. Equity-focused funds saw the biggest expansion, with their total net asset value rising by 658.3 billion yuan to 1.40 trillion yuan, it said.

Domestic fund houses had been jostling to launch new funds this year to tap a bullish stock market. The Shanghai composite index gained 43 percent in the first six months of this year, although it slipped 7 percent in June.

On the other hand, money funds, capital guaranteed funds and bond funds suffered heavy redemptions in the period, the newspaper said.

The total NAV of money funds stood at 62.76 billion yuan at the end of June, while the NAV of capital guaranteed funds was 10.36 billion yuan and bond funds 2.60 billion yuan, it said.

China Southern Fund Management Co Ltd, China Asset Management and Bosera Fund Management were among the country's largest fund houses, with assets under management exceeding 110 billion yuan each, the report said.