BlackRock raises $1bn for its maiden Chinese market fund

Move is being closely watched by global players as they prepare to enter China’s highly competitive mutual funds market.

BlackRock’s China mutual fund subsidiary has set up its first fund in the country after raising 6.68 billion yuan ($1.03bn) during a shortened subscription period, signalling a warm reception by investors. Wednesday’s disclosure came a day after billionaire investor George Soros said it was a mistake for BlackRock to invest in China now, and likely to lose money for the US fund giant’s clients. BlackRock, the first foreign asset manager to operate a wholly owned business in China’s $3.6 trillion mutual fund industry, said its newly launched China equity fund had raised 6.68 billion yuan ($1.03bn) from more than 111,000 investors.