Qualified Domestic Institutional Investor Funds Post Bumper Performance in 2020


Qualified domestic institutional investor (QDII) funds in China have seen impressive gains in 2020 despite the global economic impacts of the COVID-19 pandemic.

As of 27 November QDII share funds (A category) have seen an increase of 13.47% since the start of the year, while QDII mixed funds (A category) a 30.07% rise, according to data from China Galaxy Securities. In 2020 a number of individual fund products have also seen gains in excess of 90%.

23 QDII funds have seen increases in their net value of over 50%, led by the Huitianfu Global Consumer US Dollar Fund (汇添富全球消费美元基金), which saw an increase of 92.39%, the Guangfa Jingxuan US Dollar Fund (广发全球精选美元基金), with net value growth of 91.05%, and the Southern Hong Kong Chengzhang Fund (南方香港成长基金).

QDII’s are domestic institutional investors in China that have obtained approval from regulators to invest in offshore securities and bonds, under a scheme first launched in 2006 and overseen by the China Securities Regulatory Commission (CSRC) and the China Banking and Insurance Regulatory Commission (CBIRC).