Introducing Matthews Asia Strategic Income Fund
November 30, 2011
Matthews is pleased to announce the expansion of its fund lineup today to include the firm’s first dedicated fixed income investment strategy, the Matthews Asia Strategic Income Fund.
The growth of Asia’s bond markets—fueled by a combination of domestic wealth generation and foreign investment—is one of the region’s most important and remarkable economic developments of the last decade. The region’s bond markets have experienced enhanced credit quality as well as improvements in liquidity, transparency and diversification. As Matthews seeks to launch new strategies when we identify compelling investment opportunities in the region, these developments have led us to now be able to offer the Matthews Asia Strategic Income Fund.
The Matthews Asia Strategic Income Fund seeks total return over the long term, with an emphasis on income, and invests primarily in bonds and other debt securities of Asian corporate and sovereign issuers in both local and hard currencies. The Fund seeks high risk-adjusted return by investing across the capital structure and across currencies.
Asia’s bond markets offer investors exposure to the region’s credit, currencies and interest rates, and we believe exposure to these return drivers should help diversify most fixed income portfolios. The Matthews Asia Strategic Income Fund is intended as a lower volatility product than our other Funds, offering the potential for attractive yield as well as a mix of local and hard currency exposure that might appeal to investors concerned with the potential diminishing purchasing power of the U.S. dollar.
Both Investor (MAINX) and Institutional (MINCX) Class Shares are available for this Fund
. For more information about the Matthews Asia Strategic Income Fund, please visit matthewsasia.com/StrategicIncome
If you have any questions regarding your investment in the Matthews Asia Funds, please contact us
. Thank you for your interest in the Matthews Asia Funds. We appreciate the opportunity to serve you.
|Teresa Kong, CFA
||Gerald M. Hwang, CFA
||Robert Horrocks, PhD
||Co-Manager and Chief Investment Officer
An investment in the Fund is subject to interest rate risk, which is the possibility that a Fund's yield will decline due to falling interest rates and the potential for bond prices to fall as interest rates rise. The value of debt securities may be affected by the ability of issuers to make principal and interest payments. The Fund may invest in the following: derivatives which can be volatile and affect Fund performance; high-yield bonds (junk bonds) which can subject the Fund to substantial risk of loss; and structured investments which can change the risk or return, or replicate the risk or return of an underlying asset.