APG’s partnership with E Fund Management has produced tangible results
Any business venture will ultimately be judged by what it yields. In the case of the almost five-year partnership between the €568bn APG, Europe’s biggest pension provider, and E Fund Management, one of China’s largest asset managers with CNY2trn (€260bn), the experience so far has been fruitful.
APG deputy CIO Ronald van Dijk, speaking in early April, points to annual 10-12% above-index return for the flagship concentrated equity strategy, which invests in about 27 mainland China A-share stocks.
APG and E Fund signed their agreement in 2016. Unlike other joint ventures between Western and Chinese asset management entities, the deal did not involve one taking an equity stake in the other.
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