Income Partners RMB Bond Fund is a consistently performing PRC high-yield fixed income Fund with clear investment and risk management processes. The Fund is also somewhat of a pioneer as China has only recently allowed onshore bond investing.

Substantially all holdings are in RMB denominated fixed-income securities within mainland China directly through the manager’s Renminbi Qualified Foreign Institutional Investor (“RQFII”) quota or the Bond Connect scheme.

The manager has a strong existing presence in Asian high-yield and research capabilities to diversify into China. We noted this Fund offers long-term investors the attractive option of yield enhancement and diversification, with global interest rates likely to remain low in the near future.

Evidence of confidence in the Fund and its risk management was cited in Fund performance in 1Q-2020, where despite deteriorating market conditions, drawdowns were less than 5.5%.

While ESG is less widely used in China, the Fund began to adopt principles-based ESG Policy in 2019 to consider ESG factors in its investment decision making.

This ETF has been reviewed by five industry veterans of the Benchmark judging committee.