Key facts
- Three Chinese bond funds using a method to smooth returns closed fundraising early this week.
- Regulators reopened the product category for the first time in five years.
- Neuberger Berman Fund Management (China) Co. Ltd. announced its fund's early closure on Thursday.
- BlackRock Inc. and Hotland Innovation Asset Management Co. Ltd. announced early closures on Wednesday.
- All three funds began accepting orders on Monday.
Three Chinese bond funds that utilize an accounting method designed to smooth returns have closed their fundraising periods ahead of schedule this week. This strong institutional demand comes after regulators permitted the reopening of this specific product category for the first time in five years.
Neuberger Berman Fund Management (China) Co. Ltd. announced on Thursday that its 63-month closed-end bond fund had concluded its fundraising before the scheduled end date. The day prior, similar funds managed by BlackRock Inc. and Hotland Innovation Asset Management Co. Ltd. also announced early closures. All three funds commenced accepting orders from investors on Monday.