Customers wary of investing overseas

Funds for overseas investment run by qualified domestic institutional investors (QDII) in China are still having a hard time attracting customers who seem happier to focus on the more appealing domestic market.

E Fund Management Co Ltd, the country's fifth largest mutual fund company by asset, has raised 600 million yuan ($87.8 million) for its Asia-focused QDII fund but it was much less than the $1 billion quota it received last October.

"The amount we raised is within the expectations. The market for QDII products needs to be re-cultivated after the boom in 2007 and the failing performance during the financial crisis that brought huge losses to investors," said E Fund Management in a statement.