Japan Asia Investment, the Tokyo-based investment specialist, has partnered with a Chinese investment firm to create a Renminbi-denominated fund that invests in both Chinese and Japanese companies.

Shengyang Wanrun-JAIC Venture Capital Enterprise, the new fund, is managed alongside Shenyang Wanrun City Investment Management which is based in Hunnan New District, Liaoning Province. It will be managed by JAIC Shenyang Venture Capital Management, which was established as a 100 per cent subsidiary of Japan Asia Investment (China) (JCN). JCN will then close and transfer all its operations to JSCM.

The fund, which has RMB300 million ($48 million) under management, will invest in Chinese growth companies in Shenyang City, as well as Japanese-affiliated firms located in the area. Shenyang is an important cultural and trading centre in the central region of Liao Plain.