Important Information

  • BOCHK All Weather China High Yield Bond Fund (the "Sub-Fund") is a Sub-Fund of BOCHK Wealth Creation Series.
  • The Sub-Fund is to generate long-term capital growth and income in RMB terms by investing primarily in fixed income and debt securities (Definition please refer to the Sub-Fund's product key facts statement) that are denominated in RMB or other currencies. The Sub-Fund may also invest in RMB denominated deposits.
  • Investment involves risks. The Sub-Fund involves significant risks including but not limited to market risk, risks relating to RMB, credit risk, high-yield and unrated securities, limited pool of investments, Mainland China market risk, emerging market risk, concentration risk, valuation risk, liquidity risk, risks relating to QFI funds, interest rate risk, currency risk/hedging risk, risks relating to hedging and the hedged classes, derivative risk, etc. Past performance is not indicative of future performance. Investors may not get back the full amount of capital invested.
  • Investors should not solely rely on this website to make any investment decision. Please refer to the Explanatory Memorandum and the relevant appendix in detail (including the full text of risk factors stated therein) about the Sub-Fund. If you have any questions about the information of this website, please seek independent professional advice.

Investment Objectives

The investment objective of the Sub-Fund is to generate long-term capital growth and income in RMB terms by investing primarily in fixed income and debt securities (hereinafter collectively referred to in this investment objective and policy as “Debt Securities”) that are denominated in RMB or other currencies. The Sub-Fund may also invest in RMB denominated deposits. In order to achieve its investment objective, the Sub-Fund will directly invest in a managed pool of Debt Securities issued and traded outside mainland China.

Fund Information

Fund Manager BOCHK Asset Management Limited
Fund Size RMB 278.42 Million (As of 30 April 2024)
Launch Date 22 Mar 2013
Base Currency RMB
Dealing Frequency Daily
NAV calculation frequency Daily
Dividend Distribution* Aims to pay dividend on quarterly basis
Subscription Fee Up to 5.25%
Redemption Fee** Nil
Management Fee** 1.25% p.a.
Class Class A1
(RMB)
Class A2
(USD)
Class A3
(HKD)
Class A4
(AUD-H)
Class A8
(USD-H)
Minimum investment (initial) RMB
10,000
USD
1,000
HKD
10,000
AUD
1,000
USD
1,000
Minimum investment (additional) RMB
10,000
USD
1,000
HKD
10,000
AUD
1,000
USD
1,000
Bloomberg ID BOCWRBA HK BOCWRBB HK BOCWRBC HK BOCWAUD HK BOCWUSD HK
ISIN HK0000140340 HK0000140357 HK0000140365 HK0000206646 HK0000277647

* Please refer to the fund documents of the respective funds/ sub-funds for details.
** The fees and charges may also be increased up to maximum level as specified in the fund document by giving at least one month’s prior notice to investors. Please refer to the fund document for further details.

Past Performance – Calendar Year

Download

Historical Fund Price
Dividend History
Fund Documents :
Fund Factsheet (Available in English and Traditional Chinese)
Explanatory Memorandum and Appendix (Available in English and Traditional Chinese)
Product Key Facts (Available in English and Traditional Chinese)
2023 Annual Report(Available in English and Traditional Chinese)
2023 Interim Report (Available in English and Traditional Chinese)

Important Notice

Investment in funds/sub-funds may involve risks and may not be suitable for all investors. Past performance is not indicative of future results. Investors should read carefully the relevant fund documents for details including but not limited to the risk factors before making any investment decisions. Printed copies of the fund documents or other information of the funds/sub-funds are available from the distributors of the respective funds/sub-funds and BOCHK Asset Management Limited. The above information does not constitute any offer or recommendation to implement or liquidate an investment or to carry out any other transaction. It should not be used as a basis for any investment decision or other decision. Any investment decision should be based on appropriate professional advice specific to the investors’ needs.

Market risk

  • The Sub-Fund is an investment fund. The Sub-Fund’s investment portfolio may fall in value and therefore your investment in the Sub-Fund may suffer losses.

Risks relating to RMB

  • RMB is not a freely convertible currency and it is subject to exchange control policies and restrictions. Currency conversion is also subject to availability of RMB at the relevant time (i.e. it is possible there is not sufficient RMB for currency conversion in case of sizeable subscriptions in non-RMB classes) and this may affect the investors’ investment in the Sub-Fund.
  • There is no guarantee that RMB will not depreciate. Investors may suffer losses if (i) they convert another currency into RMB so as to invest in the RMB class(es) and subsequently convert the RMB redemption proceeds back into such other currency or (ii) they invest in non-RMB classes in case of depreciation of RMB, as the majority of the Sub-Fund’s investments will be held in RMB denominated securities.
  • The Sub-Fund may invest in securities that are denominated in RMB but settled in other currencies (such as USD or HKD). Its performance may be adversely affected by the movements in the exchange rates between RMB and such other currencies.
  • When calculating the value of a non-RMB denominated or settled asset or the price of a non-RMB denominated class of Units, the Manager will normally apply the exchange rate for offshore RMB in Hong Kong (the “CNH”). The CNH rate may be at a premium or discount to the exchange rate for onshore RMB in China (the “CNY”) and there may be significant bid and offer spreads. The value of the Sub-Fund thus calculated will be subject to fluctuation.

Credit risk

  • Debt Securities are typically unsecured debt obligations not supported by any collateral. The Sub-Fund is exposed to the credit/insolvency risk of issuers which may be unable or unwilling to make timely payments on principal and/or interest.
  • If the issuers of any of the securities default in payment, investors may suffer a significant loss.
  • Investment grade securities may be subject to the risk of being downgraded. In the event of downgrading, the risks of default may be higher, and the Sub-Fund’s investments in such securities may be adversely affected.

High-yield and unrated securities

  • The Sub-Fund may make significant investments in Non-Investment Grade Debt Securities or unrated Debt Securities, which may be subject to higher risk, because of generally lower credit worthiness and liquidity, greater fluctuation in value and higher chance of default than investment grade securities. In the event of a default, investors may suffer a significant loss.

Limited pool of investments

  • RMB denominated Debt Securities available for investment by the Sub-Fund are relatively limited.
  • Although the Manager expects that there will be sufficient issues of Debt Securities for the Sub-Fund to construct its investment portfolio, the choice of investments may not be as diverse as other types of funds. Securities held by the Sub-Fund may be issued by a limited number of issuer(s) or financial institution(s), and accordingly, there will be additional credit risk.

China market/emerging markets risk

  • The Sub-Fund may be subject to the risks of investing in the China market or emerging markets generally, such as greater political, social, economic, foreign exchange, liquidity and regulatory risks.

Concentration risk

  • The Sub-Fund focuses its investments on the offshore RMB Debt Securities market and its portfolio of investments may not be diversified compared to other broad-based funds. It may be subject to additional concentration risk.

Valuation risk

  • Valuation of the Sub-Fund’s investments may involve uncertainties and judgmental determinations, and independent pricing information may not at all times be available. If such valuations should prove to be incorrect, the Net Asset Value of the Sub-Fund may be adversely affected.
  • The value of Debt Securities may be affected by changing market conditions or other significant market events affecting valuation.

Liquidity risk

  • There is currently no active secondary market for RMB denominated Debt Securities issued outside mainland China. The Sub-Fund may need to liquidate its investments at a substantial discount in order to satisfy redemption requests.
  • The bid and offer spreads of the price of the relevant RMB denominated Debt Securities may be high and the Sub-Fund may incur significant costs and may therefore suffer losses when trading such instruments.

Risks relating to RQFII funds

Risks relating to RMB denominated securities:

  • RQFII funds primarily invest in PRC securities that are denominated in RMB. RMB is currently not a freely convertible currency and is subject to foreign exchange controls and repatriation restrictions imposed by the Chinese government. There is no guarantee that RMB will not depreciate. The Sub-Fund may suffer losses in case of depreciation of RMB.

Risks relating to the RQFII regime:

  • There is no assurance that sufficient quota will be available for investment by a RQFII fund. Therefore the Sub-Fund’s ability to obtain exposure to the PRC domestic securities market may be limited by the availability of RQFII quota.
  • There is no guarantee that restrictions will not be imposed in relation to repatriation of capital out of China by RQFII funds. Any restrictions on repatriation of the invested capital out of China may impact on RQFII funds’ ability to meet redemption requests from the Sub-Fund. Therefore, the Sub-Fund may be subject to liquidity risk insofar as it invests in RQFII funds.
  • The application of the rules relevant to RQFII may depend on the interpretation given by the relevant Chinese regulatory authorities. Any changes to the relevant rules may have an adverse impact on investments made by the RQFII funds and hence the Sub-Fund’s performance.

Investment in PRC bond markets via RQFII funds:

  • The Sub-Fund may have exposure to the PRC bond markets through investment in RQFII funds. Investment in the PRC bond markets via RQFII funds is subject to liquidity risks as there may not be an active secondary market for PRC bonds. The bid and offer spreads may be large and significant trading costs may be incurred.

PRC taxation:

  • RQFII funds’ investment in the PRC is subject to PRC tax liabilities. Even if tax provisions are made, the value of RQFII funds may be adversely affected if there is a shortfall between the provisions and actual tax liabilities.

Interest rate risk

  • Debt Securities are sensitive to changes in interest rates. Generally, the prices of Debt Securities rise when interest rates fall, vice versa. Longer term Debt Securities are usually more sensitive to interest rate changes.

Currency risk/ hedging risk

  • Because the Sub-Fund's assets and liabilities may be denominated in currencies different from the Sub-Fund’s base currency (RMB), the Sub-Fund may be affected unfavourably by changes in the exchange rates between the Sub-Fund’s base currency and other currencies. The Manager may use hedging techniques to attempt to offset currency risks. However, there is no guarantee that the desired hedging instruments will be available or hedging techniques will achieve their desired result.

Risks relating to hedging and the hedged classes

  • There can be no assurance that any currency hedging strategy employed by the Manager will fully and effectively eliminate the currency exposure of the Sub-Fund. If the counterparties of derivative instruments used for hedging purposes default, investors of the hedged share classes may be exposed to the currency exchange risk on an unhedged basis and may suffer losses as a result.
  • The effects of hedging will be reflected in the Net Asset Values of the hedged classes. Similarly, any expenses arising from such hedging transactions will be borne by the hedged classes in relation to which they have been incurred which may be significant depending on the prevailing market conditions.
  • While hedging strategies may protect investors in the hedged classes against a decrease in the value of the Sub-Fund’s base currency relative to the class currency of the hedged classes, but it may also preclude investors from benefiting from an increase in the value of the Sub-Fund’s base currency.

Derivative risk

  • The Sub-Fund may use derivative instruments (e.g. swaps and forwards) for hedging purposes. There can be no assurance that any hedging techniques will fully and effectively eliminate the risk exposure of the Sub-Fund.
  • The price of a derivative instrument can be very volatile. A derivative instrument is subject to the risk that the counterparty of the instrument will not fulfil its obligations to the Sub-Fund, and this may result in losses to the Sub-Fund.
  • The availability of RMB forwards that could be used by the Sub-Fund for hedging purposes may be limited and costly. Therefore, the effectiveness of the hedging techniques used by the Manager may be subject to limitations.
  • Derivative instruments may be illiquid and are complex in nature. In adverse situations, the Sub-Fund’s use of derivatives for hedging may become ineffective and the Sub-Fund may suffer significant losses.

The Sub-Fund does not have any guarantees. You may not get back the full amount of money you invest.

By accepting the Terms and Conditions as set out on https://www.bochkam.com, you shall be deemed as users of this Site and acknowledge that you are responsible for ensuring that the legislation applicable to you in your jurisdiction permits you to consult this Site and you represent and warrant that you have the necessary means and skills to access this Site and use it in the intended manner only. The Terms and Conditions are subject to change without prior notice; and you should conduct your own verification of the information contained herein. Investment involves risk. Past performance is not indicative of future performance. Please refer to the respective fund documents for further information, including but not limited to the risk factors before investing. Printed copies of the fund documents or other information of the funds/sub-funds are available from the distributors of the respective funds/sub-funds and BOCHK Asset Management Limited. The above information does not constitute any offer or recommendation to implement or liquidate an investment or to carry out any other transaction. Investors should not solely rely on this Site to make any investment decision or any other decision. Any investment decision should be based on appropriate professional advice specific to the investors' needs. The advertisement contained herein has been issued by BOCHK Asset Management Limited and has not been reviewed by SFC.

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