E Fund gets $1b for overseas investment

E Fund Management Co, China's fifth-largest mutual fund company by assets, said yesterday that the quota it received from the government to invest in overseas securities indicates that regulators believe the global economy has exited the worst of the financial crisis and will generate business opportunities for domestic fund houses.

The State Administration of Foreign Exchange (SAFE) has approved quotas of $1 billion to E Fund, under the qualified domestic institutional investor (QDII) program after a 17-month halt.

China Merchants Fund also obtained a $500-million QDII quota from SAFE.