UCITS in Asia are at a crossroad. For many investors, they
are currently the preferred fund structure of choice in the
region. But certain countries in the region are also developing
a proposed cross-border initiative to stem the dominance of the
European structure, which is at a preliminary stage.
Asian UCITS funds: an aspiration?
There is an aspiration to develop a pan-Asian fund structure
with an Asia-wide passport, according to Anne-Marie Godfrey, a
lawyer for Hong Kong-based law firm Bingham McCutchen.
She explains: "The Monetary Authority of Singapore (the
regulator in the financial country) issued a proposal earlier
this year to develop a mutual recognition framework for Asian
retail collective investment schemes."
Michael Ferguson, asset management leader for
Luxembourg-based Ernst & Young, says the development of a
European Union UCITS type of fund product in Asia will take
time, and will depend on the success of bilateral arrangements