M&G increases access to Chinese equity investment opportunities with selection of new managers
London, 15 December – The equity investment team at M&G, a leading savings and investments business, has today increased its access to investment opportunities in Chinese companies through the selection of two managers – local stock-picker Value Partners Group Limited (“Value Partners”) and the Asian Pacific equities investment team at M&G.
Value Partners will manage a mandate in excess of £500 million – a portion of M&G’s overall £2 billion plus exposure to Chinese equities – focusing on a blend of actively managed onshore and offshore Chinese equities, using the MSCI China All Shares Index.
The beneficiaries of these new mandates are customers in the £136 billion Prudential with-profits fund, which includes PruFund. As the UK’s largest with-profits fund, it offers investors access to a wide range of assets, across different asset types and countries, creating a diversified portfolio which spreads the risk of investment.
Known for its value bias investment style, Value Partners was established in 1993 and became the first asset management firm to be listed on the Main Board on the Hong Kong Stock Exchange. The company is headquartered in Hong Kong and has offices in Shanghai, Shenzhen, Beijing, Kuala Lumpur, Singapore and London.
The allocation of the internal mandate follows the significant investment by M&G in September 2019 in an Asia Pacific equity fund management and research capability, to meet increasing client demand for assets in the region.
Jack Daniels, Chief Investment Officer, M&G plc, says: “As one of the world’s largest and fastest growing economies, China is home to exciting companies with cutting-edge technology and a burgeoning consumer base. For active managers like us, it is essential to blend our own expertise with that of a local partner to ensure our customers can benefit from their extensive experience, which should in turn result in excellent investment returns.”
Mr. Hendrik von Ripperda-Cosyn, Country Head and Managing Director, European Business of Value Partners said “We are proud to have been chosen as the investment specialist to help M&G manage its China equity allocation and look forward to seeing the mandate grow. As a result of the growth of China’s equity markets, both in terms of global index weightings and overall market capitalisation, we are now seeing an increasing number of asset owners beginning to implement dedicated, standalone China allocations. We expect this to be the beginning of a major shift in strategic asset allocations toward China.”
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About M&G plc
M&G plc is an international savings and investments business, managing money for both individual savers and institutional investors in 28 markets. As at 30 June 2020, we had £339 billion of assets under management and administration, around 5 million retail customers and more than 800 institutional clients.
With a heritage dating back more than 170 years, M&G plc has a long history of innovation in savings and investments, combining asset management and insurance expertise to offer a wide range of solutions. We serve our savings and insurance customers under the Prudential brand in the UK and Europe and for asset management in South Africa, and under the M&G Investments brand for asset management clients globally.
M&G has committed to achieve net zero carbon emissions on its total book of assets under management and administration by 2050 and committed to reduce operational carbon emissions as a corporate entity to net zero by 2030.
About Value Partners Group Limited
Value Partners is one of Asia’s largest independent asset management firms that seek to offer world-class investment services and products. The company’s assets under management were US$12.5 billion as of 31 October, 2020. Since its establishment in 1993, the company has been a dedicated value investor in Asia and around the world. In November 2007, Value Partners Group became the first asset management firm to be listed on the Main Board of the Hong Kong Stock Exchange (Stock code: 806 HK). In addition to its Hong Kong headquarters, the firm operates in Shanghai, Shenzhen, Kuala Lumpur, Singapore, and London, and maintains representative office in Beijing. Value Partners’ investment strategies cover equities, fixed income, multi-asset, quantitative investment solutions, and alternatives for institutional and individual clients in Asia Pacific, Europe, and the United States. For more information, please visit www.valuepartners-group.com.