Todd Bishop
Alibaba’s balance treasure has been launched in the mainland for many years, and its asset management scale (AUM) has exceeded RMB 1 trillion. Tencent (0700) Futu Securities, which has an investment, announced the launch of the “Cash Treasure”, a wealth management product known as “Hong Kong Edition Balance”, with an annualized return rate of up to 3.1%. Fu Biwei, president of Futu Securities Finance and Enterprise Services, revealed that the product has attracted thousands of customers during the test period of the previous month. The average subscription amount is about tens of thousands of yuan, and the amount of money is about several hundred million yuan.
Daily interest-bearing funds can be withdrawn at any time
At the press conference, Mr. Wei said that “Cash Treasure” has two currencies, the Hong Kong dollar, and US dollar. The annualized rate of return of the Hong Kong dollar can reach 1.84%, and the US dollar is as high as 3.1%, which is about 10 times the current interest rate of Hong Kong banks, and the interest is daily. For settlement, funds can be withdrawn at any time, and funds will not be “locked” like time deposits. In addition, the product can be traded on the Futu online platform with a minimum investment threshold of HK$1 cents or US dollars, and no subscription fee.
For the “Cash Treasure” sales target, Mr. Wei Wei believes that due to the product “only one”, it is expected to attract billions of capital inflows within one year, which is expected to lead new customers to join. He continued that the company is preparing other fund products, but is not eager to launch, will first observe the market reaction.
According to the introduction, “Cash Treasure” provides three money fund options, which are managed by Gaoteng International, Yifangda and Dacheng, which are jointly formed by Tencent and Gaochun Capital. Mr. Wei said that he hopes to introduce competition on the platform and provide investors with better returns.
