Doha, October 14 (QNA) - Lesha Bank LLC (Public) and China Asset Management -Hong Kong- Limited (ChinaAMC) signed a memorandum of understanding, to strengthen investment, business, and capital market cooperation between China and the Gulf Cooperation Council (GCC) region.

Lesha Bank said in a statement that, under the MoU, both parties will jointly develop investment product solutions subject to applicable regulatory and commercial considerations, noting that, as a flagship outcome of this strategic partnership, the China equity fund (the Fund) will be available in Qatar.

Group CEO at Lesha Bank, Mohammed Ismail Al Emadi, said that this step marks a significant milestone for Lesha Bank, indicating that this MoU with ChinaAMC (HK) will launch Shari'a-compliant China equity fund.

"Structured within our Asset Management vertical, the fund will be governed by Shari'a-compliant investment framework, enabling disciplined portfolio construction and risk-adjusted access to China’s growth opportunities for our investors. Beyond the immediate transaction, this collaboration strengthens our institutional capabilities while representing an important step in deepening economic and investment ties between our two countries, supporting the wider cross-border investment community and advancing regional collaboration," he added.

In turn, CEO of ChinaAMC (HK), Tian Gan, said, "We are delighted to partner with Lesha Bank on this landmark initiative, which also marks our first strategic collaboration in the Middle Eastern market. This MOU reflects our shared commitment to deepening connectivity between China and the GCC region.

"Through the Fund, we hope to offer investors in Qatar and the wider region greater access to China's new quality productive forces companies - the innovative, high-growth businesses driving the next phase of China's economic transformation. At the same time, this partnership helps eligible Middle Eastern investors enhance their global investment diversification, while strengthening the two-way investment corridor between our markets," he added.

The Fund targets sectors including AI & technology, advanced manufacturing, innovative pharmaceuticals, and renewable energy. It is designed to achieve long-term capital growth through active stock selection across Shari'a-compliant equities in the Chinese Mainland and Hong Kong, as well as overseas-listed Chinese companies, employing an "All China" active equity strategy.

Lesha Bank serves as the fund's Investment Manager, while ChinaAMC (HK) acts as the Fund's sub investment manager - taking investment decisions and managing liquidity. (QNA)