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OppenheimerFunds, Inc., one of the largest and best known asset management companies in the US, announced today (February 3) the establishment of its first overseas office -- OppenheimerFunds (Asia) Limited -- in Hong Kong. The company will use Hong Kong as its regional headquarters to develop business in Hong Kong and other markets in the Asia Pacific region.

OppenheimerFunds, Inc, together with its subsidiaries, manages more than US$150 billion in assets. The assets are managed under more than 65 US domestic and offshore mutual funds held in over 7 million shareholder accounts.

The Financial Secretary, Mr Henry Tang, was invited to the opening ceremony today as the guest of honour.

Mr Tang congratulated OppenheimerFunds (Asia) Limited on establishing its regional headquarters in Hong Kong. He said, "We are delighted to see OppenheimerFunds has selected Hong Kong as its first international base. This represents a vote of confidence in Hong Kong's sound economic fundamentals and strengthens our leading position as an international fund management centre in Asia."

Hong Kong has the largest concentration of fund managers in the region. As of March 2003, the Securities and Futures Commission (SFC) reported a total of number of 1,965 authorised unit trusts and mutual funds and over 190 registered fund management companies in Hong Kong.

Mr Tang added, "I would say OppenheimerFunds has made a wise decision in choosing Hong Kong as its first office outside the US. Hong Kong, as the world's freest economy, provides many advantages for financial services companies, including a sophisticated financial market infrastructure, an efficient and transparent regulatory regime, low taxes and talent with global exposure and experience."

Founded in 1960, OppenheimerFunds, Inc will initially offer 11 products in Hong Kong in three main categories - Global Equity Funds, US Equity Funds and Income Funds. The company also plans to launch an educational programme to raise the awareness and knowledge of local retail investors about their funds.

The Chairman, President and Chief Executive Officer of OppenheimerFunds, Inc, Mr John Murphy, said, "We are excited to see this major milestone in OppenheimerFunds's development. Hong Kong offers us extensive opportunities, including the sheer size of its mutual fund market. The great potential and demand for financial products in this vibrant city provides the ideal environment for us to establish our first overseas office."

Mr Murphy continued, "We are committed to bring our excellent products and services to the region. Our Hong Kong office will serve as our gateway to the rest of the region, and we look forward to great success here."

The Director-General of Investment Promotion at Invest Hong Kong, Mr Mike Rowse, welcomed OppenheimerFunds's expansion in Hong Kong. He said, "We are pleased to see a leading mutual fund company establish its first overseas office in Hong Kong. This certainly reinforces Hong Kong's position as a strategic location to access the international market. We look forward to more companies following OppenheimerFunds's example in extending their global reach through Hong Kong and benefiting from our sophisticated and dynamic market environment. We wish OppenheimerFunds every success in its business here and in the rest of Asia."

Invest Hong Kong is the Government department dedicated to attracting and retaining overseas investment.

Ends/Tuesday, February 3, 2004

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