Internet brokerage Boom Securities has launched an on-line unit trust service, allowing Hong Kong investors to place orders for up to 80 mutual funds worldwide.
The locally registered funds are managed by BT, Core Pacific, Investec Guinness Flight, Warburg Pincus and Templeton Franklin.
'They [the five fund managers] are more knowledgeable about electronic trading and e-commerce,' Boom managing director Mark Duff said.
He said investors would be charged a front-end fee of about 2 per cent. Boom would receive a commission as distributor.
The service was the first of its kind in Hong Kong, Mr Duff said, and would cater to new demand stimulated by the soon-to-be launched Mandatory Provident Fund scheme.
'Interest in mutual funds may be significantly enhanced as the MPF scheme comes into full effect during 2000,' Boom director Patrick Chan said.