RBC China Equity Fund (Class I) (RBCIX)

Overview

The fund is designed for investors looking to capitalize on investment opportunities within China, incorporating Mainland China, Hong Kong, and Macau into its investment horizon. With a strategy to invest at least 80% of its assets in equity investments tied economically to China, the fund aims to achieve its investment objectives through a focused yet adaptive approach. It primarily targets common stocks but remains open to diverse investment vehicles including depositary receipts. Recognizing the multifaceted nature of China’s markets, it avails itself of the flexibility to invest in securities across local Chinese, Hong Kong, and other foreign exchanges, and to trade in Renminbi (RMB), underlining a broad yet specific focus on China’s economic landscape. As a non-diversified fund, it seeks to offer a concentrated investment strategy, potentially leading to higher risk and reward scenarios.

Products and Services

• Equity Investments in China

  This core offering involves investing in a variety of equity instruments of issuers that are economically tied to China, including those from Mainland China, Hong Kong, and Macau. It forms the fund's primary investment approach, endeavoring to harness the growth and profitability of the Chinese market.

• Investment in Common Stocks

  The fund allocates a significant portion of its assets to common stocks within its target markets. This strategy is aimed at tapping into the value and growth potential of publicly traded companies in China, seeking to benefit from their market performance and economic contributions.

• Depositary Receipts

  Apart from direct investments in common stocks, the fund also considers depositary receipts as viable investment vehicles. These instruments offer a flexible way to invest in foreign companies, allowing the fund to gain exposure to Chinese firms listed on international exchanges.

• Securities Trading on Various Exchanges

  The fund diversifies its investment approach by trading securities across local Chinese, Hong Kong, and other foreign exchanges. This strategy allows for broader access to Chinese markets and the flexibility to capitalize on different trading dynamics and opportunities.

• Investments Denominated in Renminbi (RMB)

  Recognizing the importance of currency movements, the fund includes securities that trade in Renminbi (RMB), the official currency of China. This approach allows the fund to navigate and potentially benefit from currency fluctuations, adding an additional layer of investment strategy.