E Fund (HK) China Equity Dividend Fund
Important Notes Fund Information Portfolio Allocation Performance Distribution History Announcements Notices Documents Distributors FAQ
Investment Objective and Strategy
Objective

E Fund (HK) China Equity Dividend Fund seeks to achieve long-term capital appreciation primarily through equity-based investments in equity and equity-related securities of companies which are incorporated in, have their area of primary activity in or are related to the growth of Mainland China’s economy and are expected to achieve high dividend returns.
Investment Policies and Strategy

The Sub-Fund seeks to invest at least 70% of its net assets in equity or equity-related securities of companies whose activities are closely related to the economic development and growth of Mainland China. These companies may be listed in developed or emerging markets (including stock exchanges of Mainland China, Hong Kong, Singapore, Taiwan and U.S.). Equity and equity-related securities include but are not limited to common stocks, preference shares, American Depository Receipts and Global Depository Receipts. The Sub-Fund may invest in equity or equity-related securities of companies of any capital size which satisfies the requirements set out in this paragraph.


For equity investments, the Sub-Fund does not focus on any particular market sector or industry and may invest in shares issued by companies of any level of capitalisation.


The Sub-Fund may invest up to 100% of its Net Asset Value in China A-Shares which may be gained directly through the RQFII quota of the Manager and/or Stock Connect* (or similar mutual market access programme to China A-Shares). Exposure to China A-Shares through the RQFII quota of the Manager will not be more than 30% of the Sub-Fund’s Net Asset Value.


Up to 30% of the Sub-Fund’s net assets in aggregate may be invested in (i) other equity and equity-related securities issued by companies whose activities are not closely related to the economic development and growth of Mainland China; (ii) other investments, including but not limited to money market instruments, cash and cash based instruments (e.g. bank certificates of deposit, bank deposits and negotiated term deposits with banks) or exchange-traded funds; (iii) other collective investment schemes whose investment objectives are substantially similar to the Sub-Fund; (iv) convertible bonds (which may be RMB denominated) (the Sub-Fund may hold listed equities from the conversion of the convertible bonds but will not hold equities that are unlisted) and/or (v) derivatives such as options, warrants and futures for investment purposes (please refer to the sub-section headed “Investment and Borrowing Restrictions” in the section headed “Investment Considerations” and Schedule 1 in the Explanatory Memorandum for further details).


The Sub-Fund may also invest in derivatives such as options, warrants and futures for hedging purposes.


The Sub-Fund will not invest in: (i) urban investment bonds (城投債); (ii) debt instruments that are rated BB+ or below by one of the credit rating agencies in Mainland China or an internationally recognized credit agency or unrated; and (iii) securities issued and/or guaranteed by a single sovereign issuer which is rated BB+ or below (as rated by an internationally recognized credit rating agency) or unrated.


It is not the Manager’s current intention to engage in securities financing transactions or invest in asset-backed securities (including asset-backed commercial papers) or mortgage-backed securities for the account of the Sub-Fund. If there is a change in such intention, the prior approval of the SFC will be sought and at least one month’s prior written notice will be given to the relevant Unitholders of the Sub-Fund.

* “Stock Connect” includes Shanghai-Hong Kong Stock Connect and Shenzhen-Hong Kong Stock Connect.
Fund Information
HKD
USD
Class A (Acc) HKD
Class A (Dis) HKD
Class I (Acc) HKD
Class I (Dis) HKD
Class A (Acc) USD
Class A (Dis) USD
Class I (Acc) USD
Class I (Dis) USD
Manager
Inception Date
Base Currency
Management Fee (p.a.) *
(% Net Asset Value of the Sub-Fund per annum)
Subscription Fee
Switching Fee
Redemption Fee
Dealing & Trading Frequency
Current NAV ()
as of 16 May,2024
Trustee
Historical NAV
ISIN
Bloomberg Ticker
*Please note that these fees may be increased up to a permitted maximum on giving 1 month’s notice to unitholders. Please refer to the section of the prospectus entitled “Fees and Expenses” for further details of the fees and charges payable.
Disclaimer
Copyright© 2024. E Fund Management (Hong Kong) Co., Limited.

The Manager currently intends to make monthly dividend distribution in respect of the Class A (distribution) and Class I (distribution); actual dividend payout will be subject to the Manager’s discretion. The compositions of the dividends (i.e. the relative amounts paid out of (i) net distributable income and (ii) capital) for the last 12 months are available by the Manager on request and on the website of the Manager at www.efunds.com.hk. Dividend rate is not indicative of fund performance. A positive dividend yield does not imply a positive return. Past dividend rate is not indicative of future dividend rate. Net asset value of the funds may volatile subject to market factors.

E Fund Management (Hong Kong) Co., Limited is the issuer of this report. This report is neither an offer nor solicitation to purchase units of the fund; applications for units may only be made on forms of application available with the Explanatory Memorandum. Investments are subject to investment risks, fund value may go up as well as down and past performance is not indicative of future performance. Investors should read carefully the Explanatory Memorandum (including the section “Risk Factors”) for the relevant risks associated with the investment in the fund before investing.

Distribution of this report may be restricted in certain jurisdictions. This report does not constitute the distribution of any information or the making of any offer or solicitation by anyone in any jurisdiction in which such distribution or offer is not authorized or to any person to whom it is unlawful to distribute such a report or make such an offer or solicitation. This report is exempted from pre-vetting and authorization by the Securities and Futures Commission of Hong Kong (“SFC”) and has not been reviewed by the SFC. SFC authorization is not a recommendation or endorsement of a scheme nor does it guarantee the commercial merits of a scheme or its performance. It does not mean the scheme is suitable for all investors nor is it an endorsement of its suitability for any particular investor or class of investors.