The Legal 500

The Investment funds section includes firms fielding an outstanding practice in each of the fund areas (including private equity, real estate, hedge and retail/registered funds), as well as those firms which maintain strong practices across a number of the sub-categories. The ranking primarily considers fund formation work carried out by partners based in Hong Kong.

Clifford Chance’s broad practice has a depth of experience, and the team regularly advises clients on private equity funds, real estate funds, hedge funds and RMB-denominated funds. The team comprises partners Mark Shipman and Matthias Feldmann, who are both widely known for their expertise. Both advised CITIC Capital on the establishment of a CITIC Kazyna Investment Fund I, with a first closing of $200m in 2010. Shipman advises a host of fund-managed clients on various agreement matters and QFII applications, and in the private equity real estate arena, he acts for Winnington Capital, INVESCO and Phoenix Property advisors. On the hedge fund side, Feldmann advised Azentus Capital on establishing the Azentus Global Opportunities Fund, which launched in April 2011 with $1bn: the largest Asian hedge fund launch since 2007. James Walker retired from the firm in April 2011.

Praised for its ‘strong business model’, Deacons is best known for its longstanding experience in the retail funds arena, where the firm is considered to be the ‘market leader’ and ‘streets ahead’. With over 30 years’ funds experience, Rory Gallaher heads up the large team, which counts HSBC Structured Funds, Goldman Sachs (Asia), Look’s Asset Management, Schroders, UBS and Arcapita Group as clients. Gallagher and the team acted on the establishment of several private funds in 2010, including Violet Hill, New Alpha, Seres and Winnington Brands Fund. With expertise advising on PRC matters, Taylor Hui recently acted for the Haitong Global RMB Fixed Income Fund, the first-ever RMB-denominated fund outside mainland China. ‘Very good funds lawyer’ Susan Gordon has a ‘wealth of industry knowledge and understands what drives regulatory changes’, and has experience advising on MPF and retirement schemes. Jeremy Lam is recommended.

‘A top firm in private equity’, Debevoise & Plimpton has outstanding experience, and practice head Andrew Ostrognai has an excellent reputation advising on private equity fund formation. Ostrognai acted for Baring Private Equity Partners in the formation of a $2.46bn private equity fund: one of the largest-ever private equity fund launches in Asia. He is also acting for The Carlyle Group in the formation of eight RMB-denominated funds. In 2010, Ostrognai advised longstanding client CDH Investments in its formation of CDH China Fund IV, raising $1.46bn.

‘Responsive and efficient’, Sidley Austin has a superb reputation for hedge funds expertise, and the team also advises on the fund formation of private equity, venture capital, RMB-denominated, real estate and infrastructure-based funds. The large team is led by the ‘very good’ Effie Vasilopoulos, who is rated for adopting a ‘strategic long-term approach’, and acts for China Investment Corporation, China Development Bank, and Japanese private equity fund manager JAFCO. Vasilopoulous led in advising Morgan Sze on the establishment of the Azentus hedge fund platform, and also advised the Bank of Communications in the launch of its first private equity fund in Asia and the establishment of a private equity management platform. Scott Peterman acts for Turiya Capital Management in the development of a fund, following an offer of $2.5bn of hedge fund securities. The team is praised for delivering ‘seamless client communication’ in multi-jurisdictional matters.

Best known for advising on the formation of ETFs and hedge funds, Simmons & Simmons has a ‘really good practice’, led by the ‘very well known’ Rolfe Hayden. In line with the trend of commodities as an increasingly popular asset class, Hayden acted in the establishment, SFC authorisation and stock exchange listing of the first domestic physical ETF, Value Gold ETF. The team also advised Da Cheng International Asset Management and HSBC Investment Funds (Hong Kong) on three and four ETFs respectively. Elsewhere, it advises several PRC fund managers on RMB-denominated funds. Paul Li is recommended, and other clients include Citigroup First Investment Management and Brevan Howard.

‘One of the top players in private equity funds’, Simpson Thacher & Bartlett LLP benefits from its strong relationships with US private equity firms KKR and Blackstone. The team is led by ‘excellent lawyer’ Philip Culhane, who has a superb reputation for private equity fund work. Culhane advised four principals of Bank of America Merrill Lynch regarding the formation of new asset manager and fund, NewQuest Asia Fund I, and also acted for New Horizon ChinaCapital III, with a final close of $750m. Clients include Temasek, Advantage Partners and China Investment Corporation.

Baker & McKenzie’s niche is in the real estate funds arena, where the firm has depth of experience. Practice head Milton Cheng and the ‘very good’ Jason Ng acted for DB Trustees as trustee of the RMB10.48bn Hui Xian REIT, the first RMB-denominated REIT in Hong Kong. In 2011, Ng acted for Gaw Capital Partners in the formation of a private equity real estate fund. Elsewhere, the ‘efficient, professional and proactive’ Martin Tam advises on ETFs and open-end funds, counting BOCI-Prudential Asset Management as a client. The ‘efficient and very responsive team’ provides ‘high-quality and constructive advice’.

Dechert LLP acts for banks, asset managers and investment managers in providing advice on hedge, retail and private equity funds, with recent activity in the PRC private equity arena. The firm benefits from its broad experience across Europe and the US, and provides advice on both fund formation and regulatory and compliance matters. The ‘responsive and helpful’ team provides ‘practical and detailed solutions’. Angelyn Lim has ‘extensive knowledge’, and acted for Manulife Asset Management (Hong Kong) in the establishment and authorisation of a China A share equity fund. Keith Robinson relocated to the Washington DC office, and associate Karl Egbert transferred to the Hong Kong office in July 2011.

The ‘highly responsive’ team at Kirkland & Ellis International LLP demonstrates ‘strong commitment’, and is ‘one of the best’ firms specialising in private fund formation work in Asia. The team ‘understands the commercial realities of a fundraising project’ and has ‘significant depth’. The ‘highly effective’ Justin Dolling has ‘very good knowledge in the RMB-denominated funds area’ and a ‘strong technical grasp’. Dolling acted for OneGate Capital on the formation of its RMB3bn China growth equity fund. Albert Cho advised Hahn & Company on the formation of its Korea-focused buyout fund. Newly made up partner Christopher Braunack, (who has ‘solid and technical knowledge of the private equity market’), and associate Carol Liu are also recommended.

A ‘very decent outfit’, Mallesons Stephen Jaques handles private equity, infrastructure and real estate fund work; across these areas, the firm is described as ‘one of the best’. It recently acted for an investment manager on the establishment of a private equity fund investing in infrastructure assets in Greater China. The team also advises on ETFs and hedge funds; the ‘excellent’ Hayden Flinn, who has a ‘very good understanding of clients’ commercial needs’, led in advising State Street Global Advisors on the launch of an ETF. Richard Mazzochi is recommended. Clients include Macquarie Capital and Income Partners.

Weil, Gotshal & Manges is ‘making headway’ in the funds area thanks to the expertise of the ‘very experienced and commercial’ John Fadely, who joined in May 2010. Fadely is described as a ‘strong negotiator’, and advises on the formation of private funds, including private equity and real estate private equity funds. Highlights included forming funds for Legend Capital, CICC and Boyu Capital. Fadely also has experience advising on the formation of RMB-denominated funds.

Providing ‘quality advice on difficult and in-depth issues’, White & Case has a ‘very strong commitment’ to funds work. Its broad practice advises on hedge, sovereign wealth and private equity funds. ‘Available around the clock’, Sharon Hartline has a ‘very strong work ethic and client focus’ and provides clients with a ‘seamless formation and management’ of funds. The team represented PAG (Pacific Alliance Group) on an Asia-focused special situations fund, and also advised Australian-based private equity firm CHAMP in the formation of CHAMP Buyout III. Clients rate the firm’s global reach and ‘unique expertise’ in advising on cross-jurisdictional matters. Anthony Wong is recommended.

Allen & Overy is active in retail fund authorisation work, private equity funds and hedge funds, and is currently advising an asset manager regarding the establishment of an RMB-denominated bond fund. Alan Ewins leads the team, and recently acted for ING Investment Management on various matters, including the authorisation of a UCITS fund domiciled in Luxembourg.

Ashurst Hong Kong in association with Jackson Woo & Associates is strong in the private funds sector, and advises clients on closed-end funds. The team, led by ‘solid lawyer’ Dean Moroz, also undertakes sponsor-side work for sovereign funds. Moroz recently advised Kazyna Capital Management JSC (part of the Kazakh sovereign wealth fund) on the establishment of the $400m Kazakhstan Hong Kong Development Fund, a joint venture project between KCM and various Hong Kong investors. Moroz also advised Intermediate Capital Asia Pacific on co-investment arrangements involving a middle-eastern sovereign wealth fund and a Cayman Island limited partnership.

DLA Piper is developing a ‘significant practice’ in funds work, largely due to Luke Gannon, who has a very good reputation in the market. Gannon advises on hedge, real estate and private equity funds. Highlights included advising KIMA Capital Management on the establishment of a Cayman-based hedge fund of $30m, and advising Wang On Group on the establishment of a $30m private equity fund structured as a limited partnership.

Linklaters has RMB-denominated funds expertise, and has recently advised on several private equity fund formations in China. Head of the investment management group Edward Smith is a ‘good solid lawyer’, and in February 2011, he advised Nalanda Capital on the formation of Nalanda India Equity Fund, worth $480m. Betty Yap is renowned for her substantial RMB expertise.

Norton Rose Hong Kong advises sponsors, investors, trustees and fund service providers on fund formations and other matters. Charlotte Robins joined from Clifford Chance in April 2011, bringing private equity and hedge fund experience, coupled with regulatory knowledge. The ‘fantastic’ Andrew Abernethy provides ‘solid advice based on commercial considerations’, and counts Sunwah International Asset Management (Cayman) as a client. Davide Barzilai has experience in sharia-compliant funds.

O’Melveny & Myers LLP impresses due to its excellent reputation for advising on fund formation and RMB-denominated funds. James Ford transferred from the London office in January 2011. Supporting the team is the Singapore-based Dean Collins, who has ‘great technical knowledge’, and Larry Sussman in Beijing.

Fielding a broad funds practice, Orrick, Herrington & Sutcliffe LLP has recent experience advising on large private equity funds in China, and acts for investors, sponsors and issuers in relation to fund formation, investment management and regulatory issues. The highly recommended Sook Young Yeu is currently involved in the establishment of a Mongolia-focused private equity fund, and is also advising a client with regard to closed-end investment funds. The team provides fund management advice to Headland Capital Partners, Overlook Investments and Vegasoul Capital Management.

Paul Hastings LLP is rated for private equity fund formation and real estate fund work, where the firm has a particularly good reputation. The team acts for clients including Blackstone, The Carlyle Group, Asia Pacific Land and CBRE Investors. It is also advising Tan-Eu Capital on the formation of a $1bn real estate private equity fund with focus on investment in China. Neil Torpey and Vivian Lam are singled out for their knowledge. Steven Winegar recently joined from Goldman Sachs.

Ropes & Gray LLP is fast developing an excellent reputation in the funds arena, due to the arrival of Geoffrey Chan from O’Melveny & Myers LLP in January 2011. Chan has experience in offshore and domestic Chinese funds, including RMB-denominated funds, and counts CITIC Private Equity Funds Management, Harvest Capital Partners, Temasek and Bank of China Investments as clients.

Shearman & Sterling LLP is widely known for its strong capabilities in the private equity and hedge fund area, and the firm couples this with strong regulatory expertise. The ‘very experienced’ Lorna Chen made partner in January 2011, and provides advice with a ‘quick turnaround time’. Chen advises the International Finance Corporation on fund investment projects in Asia. Senior counsel Richard Metsch relocated to Hong Kong from New York in February 2011. He is advising CLSA Capital Partners on the structuring and formation of hedge and private equity funds, particularly in the clean technology and real estate sectors. Clients include Squadron Capital, China Investment Corporation and Oracle Capital.