CLSA US Dollar Money Market Fund (the “Sub-Fund”) is a sub-fund of CLSA Global Public Fund Series Open-ended Fund Company, which is a public open-ended fund company domiciled in Hong Kong with variable capital with limited liability and segregated liability between sub-funds.
The Sub-Fund’s objective is to invest in short-term deposits and high quality money market investments. The Sub-Fund seeks to achieve a return in US Dollars (“USD”) in line with prevailing money market rates, with primary considerations of both capital preservation and liquidity. There can be no assurance that the Sub-Fund will achieve its investment objective. Please note that the Sub-Fund does not have any guarantees. You may not get back the full amount of money you invest and the investments in Sub-fund may not be suitable for everyone. The investors should read the Prospectus and Product Key Facts Statement carefully and pay attention to product features and risks to evaluate whether the product matches with investor’s own investment objective and risk appetite.
Investors can obtain Prospectus and Product Key Facts Statement of Sub-Fund from the office of CLSA Asset Management, 18/F, One Pacific Place, 88 Queensway, Hong Kong and can also download from website.
Since the Sub-Fund is newly set up, there is insufficient data to provide a useful indication of past performance. And historical performance is not indicative of future results, neither does it constitute a representation or guarantee as to future results or performance.
Investment involves risks. Please refer to the Prospectus for details including the risk factors.
1. General Investment risk
The Sub-Fund’s investment portfolio may fall in value due to any of the key risk factors below and therefore your investment in the Sub-Fund may suffer losses. There is no guarantee of repayment of principal.
2. Risks associated with bank deposits
Bank deposits are subject to the credit risks of the relevant financial institutions. The Sub-Fund may also place deposits in non-resident accounts (NRA) and/or offshore accounts (OSA) with Mainland Chinese banks. The Sub-Fund’s deposit may not be protected by any deposit protection schemes, or the value of the protection under the deposit protection schemes may not cover the full amount deposited by the Sub-Fund. Therefore, if the relevant financial institution defaults, the Sub-Fund may suffer losses as a result.
3. Risks associated with short-term money market instruments / debt securities
Short-term money market instruments / debt securities risk
· As the Sub-Fund invests significantly in short-term money market instruments / debt securities with short maturities, it means the turnover rates of the Sub-Fund’s investments may be relatively high and the transaction costs incurred as a result of the purchase or sale of such securities may also increase which in turn may have a negative impact on the net asset value of the Sub-Fund.
Interest rate risk
· Investment in the Sub-Fund is subject to interest rate risk. In general, the prices of short-term money market instruments / debt securities rise when interest rates falls, whilst their prices fall when interest rates rise.
Credit / Counterparty risk
· The Sub-Fund is exposed to the credit/default risk of issuers of the short-term money market instruments / debt securities that the Sub-Fund may invest in.
· The credit rating of short-term money market instruments / debt securities or their issuer may subsequently be downgraded. In the event of downgrading, the value of the Sub-Fund may be adversely affected. The Manager may or may not be able to dispose of such securities that are being degraded.
Credit rating risk
· Credit ratings assigned by rating agencies are subject to limitations and do not guarantee the creditworthiness of the short-term money market instruments / debt securities and/or issuer at all times.
Credit rating agency risk
· The credit appraisal system in Mainland China and the rating methodologies employed in the Mainland China may be different from those employed in other markets. Credit ratings given by Mainland China rating agencies may therefore not be directly comparable with those given by other international rating agencies.
Sovereign debt risk
· The Sub-Fund’s investment in securities issued or guaranteed by governments may be exposed to political, social and economic risks. In adverse situations, the sovereign issuers may not be able or willing to repay the principal and/or interest when due or may request the Sub-Fund to participate in restructuring such debts. The Sub-Fund may suffer significant losses when there is a default of sovereign debt issuers.
· Valuation of the Sub-Fund’s investments may involve uncertainties and judgmental determinations. If such valuation turns out to be incorrect, this may affect the net asset value calculation of the Sub-Fund.
4. Concentration risk
· The Sub-Fund will have USD exposure of at least 70% of its net asset value. The Sub-Fund may also at times be concentrated in a particular market or region such as Mainland China. The value of the Sub-Fund may be more susceptible to adverse economic, political, policy, foreign exchange, liquidity, tax, legal or regulatory event affecting the Mainland China and USD market. Also, the value of the Sub-Fund may be more volatile than that of a fund having a more diverse portfolio of investments.
5. Emerging market risk
· Investing in emerging markets involves increased risks and special considerations not typically associated with investment in more developed markets, such as liquidity risks, currency risks/control, political and economic uncertainties, legal and taxation risks, settlement risks, custody risk and the likelihood of a high degree of volatility.
6. Risks associated with CIBM and Bond Connect
· Investing in the CIBM via Foreign Access Regime and/or Bond Connect is subject to regulatory risks and various risks such as volatility risk, liquidity risk, settlement and counterparty risk as well as other risk factors typically applicable to debt securities. The relevant rules and regulations are subject to change which may be potential retrospective effect.
7. Risks associated with investment made through QFI Regime
· The Sub-Fund’s ability to make the relevant investments or to fully implement or pursue its investment objective and strategy is subject to the applicable laws, rules and regulations (including restrictions on investments and repatriation of principal and profits) in Mainland China, which are subject to change and such change may have potential retrospective effect.
· The Sub-Fund may suffer substantial losses if the approval of the QFI status of the Manager is being revoked/terminated or otherwise invalidated as the Sub-Fund may be prohibited from trading of relevant securities and repatriation of the Sub-Fund’s monies, or if any of the key operators or parties (including QFI custodian/brokers) is bankrupt, in default and/or is disqualified from performing its obligations (including execution or settlement of any transaction or transfer of monies or securities).
8. Mainland China tax risk
· There are risks and uncertainties associated with the current Mainland China tax laws, regulations and practice in respect of capital gains realised via QFI Regime, Bond Connect and/or CIBM under the Foreign Access Regime on the Sub-Fund’s investments in Mainland China (which may have retrospective effect). Any increased tax liabilities on the Sub-Fund may adversely affect the Sub-Fund’s value.
· Based on professional and independent tax advice, the Sub-Fund will not make tax provision for realised and unrealised capital gains on the Sub-Fund’s investments in Mainland China.
· If taxes are levied on the Sub-Fund for which no provision is made, the actual tax liabilities, which will be debited from the Sub-Fund’s assets, will adversely affect the Sub-Fund’s net asset value.
9. Currency risk
· The underlying investments of the Sub-Fund may be denominated in currencies other than the base currency of the Sub-Fund. Also, a class of shares of the Sub-Fund may be designated in a currency other than the base currency of the Sub-Fund. The net asset value of the Sub-Fund may be affected unfavourably by fluctuations in the exchange rates between such currency and the base currency and by changes in exchange rate controls.
10. Risk relating to investment in derivatives and hedging
· Although the Manager may hedge any non-USD-denominated and settled investments into USD to manage any material currency risk, there can be no assurance that any currency hedging strategy will fully and effectively eliminate the currency exposure of the Sub-Fund. Risks associated with derivatives include counterparty/credit risk, liquidity risk, valuation risk, volatility risk and over-the-counter transaction risk. The leverage element/component of derivatives can result in a loss significantly greater than the amount invested in the derivatives by the Sub-Fund. Exposure to derivatives may lead to a high risk of significant loss by the Sub-Fund.
11. RMB currency and conversion risk
· The Sub-Fund may invest significantly in RMB-denominated investments. Non-RMB based investors are exposed to foreign exchange risk and there is no guarantee that the value of RMB against the investors’ base currencies (e.g. USD or HKD) will not depreciate. Any depreciation of RMB could adversely affect the value of investor’s investment in the Sub-Fund.
· The Sub-Fund’s investment in RMB-denominated investments and the share classes denominated in RMB may be valued with reference to the offshore RMB (CNH) rather than onshore RMB (CNY). Although CNH and CNY are the same currency, they are traded in different and separate markets which operate independently. As such, CNH does not necessarily have the same exchange rate and may not move in the same direction as CNY. Any divergence between CNH and CNY may adversely impact investors.
· RMB is currently not freely convertible and is subject to exchange controls and restrictions. Under exceptional circumstances, payment of redemptions and/or dividend payment in RMB may be delayed due to the exchange controls and restrictions applicable to RMB.
12. Risks relating to reverse repurchase transactions
· The Sub-Fund may engage in reverse repurchase transactions where the Sub-Fund purchases securities (i.e. in effect, the collateral received by the Sub-Fund for the transactions) from a counterparty and agrees to sell such securities back at an agreed price in the future. In the event of the failure of the counterparty with which cash has been placed, the Sub-Fund may suffer loss as there may be delay in recovering cash placed out or difficulty in realising collateral or proceeds from the sale of the collateral may be less than the cash placed with the counterparty due to inaccurate pricing of the collateral or market movements.
CLSA US Dollar Money Market Fund (the “Sub-Fund”) is a sub-fund of CLSA Global Public Fund Series Open-ended Fund Company, which is a public open-ended fund company domiciled in Hong Kong with variable capital limited liability, and segregated liability between sub-funds.
Investors should note that the purchase of a share in the Sub-Fund is not the same as placing funds on deposit with a bank or deposit-taking company. The Sub-Fund does not have a constant net asset value per share and does not guarantee the repayment of investment principal. The Manager has no obligation to redeem the shares at the offer value. The Sub-Fund is not subject to the supervision of the Hong Kong Monetary Authority.
CLSA Asset Management Limited
01 March 2023
Fund Financial Year End
Distribution Policy (Class A/B/I)
No dividend distribution (income, if any, will be reinvested)
Ongoing charges over a year
The ongoing charges figures are indicative only as the Sub-Fund is newly set up. It represents the sum of the estimated ongoing charges of the respective share classes over a 12-month period chargeable to the respective share classes as a percentage of the estimated average net asset value of the respective share classes over the same period. The actual figures may be different upon actual operation of the Sub-Fund and may vary from year to year.
Annual Rate (as a % of the net asset value of the relevant share class, unless otherwise indicated)
Maximum: 0.25% ; Current: 0.15%
Maximum and current : 0.6%
Maximum: 0.2%; Current: 0.1%
Notice and Announcement
Notice to Shareholders_19 January 2024 (Eng)
Notice to Shareholders_19 January 2024 (Chi)
Notice to Shareholders_29 September 2023(Eng)
Notice to Shareholders_29 September 2023(Chi)
Announcement of Interim Report 2023 - 31 August 2023(Eng)
Announcement of Interim Report 2023 - 31 August 2023(Chi)
To submit a general enquiry, please email to email@example.com.
To contact CLSA Asset Management Limited Office, Please refer the office location: 18/F, One Pacific Place, 88 Queensway, Hong Kong
Investment involves risk and you may not get back the amount originally invested. Past performance is not indicative of future performance. You should not make any investment decision solely based on this website and should read the relevant offering documents for details including the risk factors before making any investment decisions. If investment returns are not denominated in HKD/ USD, US/HK dollar-based investors are exposed to exchange rate fluctuations. You should ensure you fully understand the risks associated with the investment and should also consider your own investment objective and risk tolerance level. If in doubt, please seek independent financial professional advice.
This website is intended for Hong Kong residents only. Non-Hong Kong residents are responsible for observing all applicable laws and regulations of their relevant jurisdictions before proceeding to access the information contained herein.
SFC authorization is not a recommendation or endorsement of the Fund or its sub-funds, nor does it guarantee the commercial merits of the Fund or any of its sub-funds, or their performance. This does not mean the Fund or its sub-funds are suitable for all investors, nor is it an endorsement of their suitability for any particular investor or class of investors.
This website has not been reviewed by the Securities and Futures Commission of Hong Kong.