Northern Trust has launched its hedge fund administration business from the firm’s Beijing base to support Shanghai’s Qualified Domestic Limited Partner Pilot (QDLP) program.

The fund administration capability will provide local market expertise and solutions to hedge fund clients as they participate in QDLP program.

The program will enable international hedge fund managers to raise funds onshore and access renminbi-denominated capital for overseas investment.

Northern Trust Hedge Fund Services offers solutions to the alternatives industry including middle office and administration services, specializing in trade processing, valuation, real-time reporting, cash management, accounting, collateral management and investor servicing.

Michael Wu, country manager for Northern Trust in Beijing, said: "The Shanghai QDLP programme marks the first time any foreign financial institution is permitted to raise capital from domestic investors in China and invest these proceeds offshore and will offer attractive opportunities to international hedge funds and domestic players alike."