Six months after its launch, the A&P Macau Patacas Money Market Fund is set to expand its reach to investors across the wider Greater Bay Bay Area (GBA), the South China Morning Post reports.
The world’s first pataca-denominated mutual fund will be available to mainlanders via the Wealth Management Connect scheme, introduced by the Central Government in 2021 to facilitate cross-border investment for residents of Macao, Hong Kong and Guangdong.
Bernardo Alves, founder, chairman and chief investment officer of the A&P Investment Fund Management Company, told the Post that the fund has “successfully established a track record” since its launch last July.
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“It is time to go forward and start promoting [the fund] to mainlanders via the Wealth Management Connect scheme,” he added.
Currently valued at approximately 218 million patacas (US$27 million), the fund offers an estimated return rate of 3.86 percent. It is invested in Macao’s interbank market through time deposits in patacas, Hong Kong dollars and US dollars, and is distributed by the Bank of China Macau.
According to Investopedia, a money market fund is a type of low-risk mutual fund that’s invested in highly liquid, short-term debt instruments. Mutual funds pool money from numerous investors to purchase tradable financial assets.
