Irish Life Fidelity China

China Focus Fund A-GBP invests at least 70% of its assets in equities of companies listed in China and Hong Kong, as well as in non-Chinese companies that do most of their business in China. It may also invest up to 60% of its assets in China A and B shares, directly or indirectly. The fund can also hold money market instruments on an ancillary basis.

China Focus Fund A-GBP is managed using a value contrarian style with bottom-up security selection. That means the managers look for fundamentally strong businesses run by good management teams in areas of the market that are out of favour, where they believe valuation anomalies can offer a margin of safety. The fund is actively managed by Nitin Bajaj and Alice Li.

China Focus Fund A-GBP may suit investors seeking capital growth over time and who can stay invested for at least 5 years. It invests in China and Hong Kong, and China is considered an emerging market, so the fund carries emerging markets risk. This means its investments may be more volatile and harder to predict than those in more developed markets.

China Focus Fund A-GBP uses financial derivative instruments for investment purposes. Derivatives can help the fund take market positions, but they may also expose the fund to a higher degree of risk and larger than average price fluctuations. In plain language, this means the fund’s value could move up or down more sharply than a fund that does not use derivatives.

China Focus Fund A-GBP’s holdings include companies such as Tencent, Alibaba, Prosus, China Merchants Bank, BOC Aviation, and Trip.com Group. The portfolio spans sectors including consumer discretionary, communication services, financials, consumer staples, and industrials. This shows the fund is diversified across several parts of the China-related market rather than focused on just one industry.