Core Viewpoint - The company, Sijiao Infrastructure, has submitted a prospectus to the Hong Kong Stock Exchange for its private credit fund, marking it as the first private credit fund in Hong Kong, aiming to provide regular, sustainable, and long-term returns through a diversified portfolio of senior and subordinated debt in economic infrastructure [1][3]. Group 1: Fund Structure and Investment Goals - Sijiao Infrastructure is established as a limited liability investment fund under Hong Kong law, categorized as a complex fund product [1][4]. - The fund's investment objective includes constructing a diversified investment portfolio consisting of priority and subordinated debt, with subordinated debt not exceeding 60% of the total fund assets [1][3]. Group 2: Investment Risks - The fund faces risks associated with subordinated debt investments, where subordinated lenders receive cash flows only after senior lenders are fully compensated, potentially leading to significant losses for subordinated lenders if the borrower's asset value declines [3][5]. - The fund may engage in capital relief transactions involving subordinated debt layers sold by other infrastructure lenders, which could carry higher risks compared to direct subordinated loans to borrowers [3][5]. Group 3: Fund Characteristics - Sijiao Infrastructure is a closed-end fund, meaning shareholders cannot redeem their shares, and its market price may fluctuate based on factors beyond net asset value [5][6]. - The fund plans to invest in multiple currencies, exposing it to currency exchange rate fluctuations that could affect its income when converted to USD, with no mandatory hedging obligations [5][6]. Group 4: Management and Historical Context - The fund does not have a prior operating history and has not identified or acquired any investment projects, relying on the capabilities of its investment manager and advisor to identify and assess potential investments [6].