iShares, the exchange traded funds arm of BlackRock, has strengthened its fixed income ETF product range with the launch of a new offshore RMB denominated bond ETF.

The iShares RMB Bond Index ETF begins trading on the Hong Kong Stock Exchange on 18 June 2013. The product provides an alternative vehicle for local and international investors looking to access the fast-growing RMB bond market and offers access to 92 RMB bonds in dual currency: RMB and Hong Kong dollars.

It will start trading in board lots of 100 units, costing RMB3,500 ($570) per lot at an initial price of RMB35.

"Inflows of fixed income exchange-traded products reached a record high of $70 billion last year, while the size of the offshore RMB bond market increased nearly five times over the past two years to exceed RMB400 million," said Jane Leung, managing director at BlackRock and head of iShares Asia-Pacific.

iShares Asia-Pacific operates in Australia, China, Hong Kong, Japan and Singapore.