Deutsche Asset Management (DeAM) and Harvest Fund Management (Harvest) have decided to co-operate with each other to further leverage on the existing relationship between the firms. DeAM and Harvest Global Investments (HGI), a newly formed entity in Hong Kong and wholly-owned by Harvest, intend to enter into an agreement on 31 July 2009.
As per the agreement, DeAM and its affiliates agreed to sub-delegate management of DWS mutual funds employing an Asian equities strategy and a greater China equities strategy, and to transfer a number of senior managers and a sales team to HGI. DWS remains the investment manager and distributor of these mutual funds globally, and will continue to deliver investment performance to its clients by leveraging the manufacturing strength of its local partners. In terms of the sub-delegation of certain funds, DeAM will provide operational assistance to HGI during a defined transitional period in areas including back office support, trading, and compliance. Approved by the Harvest Board, Ms. Michele Bang has been appointed to serve as HGI’s CEO.
Kevin Parker, global head at Deutsche Asset Management, commented: This is an exciting new step in our partnership with Harvest. They have had significant success in developing their business in China, and we see great potential for them to apply their expertise in Asia more broadly.
Henry Zhao, CEO at Harvest Fund Management, said: This agreement takes the close cooperation between Harvest Fund Management and Deutsche Asset Management, to a new level, broadening it from China to pan Asia.
With approximately $613 billion in assets under management globally (as of 30 March 2009), Deutsche Bank’s Hong Kong-based Asset Management division provides a broad range of investment management products across the risk/return spectrum.
Harvest was founded in 1999 in Beijing and is 30% owned by Deutsche Asset Management. It has $29 billion (as at 30 June 2009) in funds under management.
