Brown Brothers Harriman & Co. has been appointed as the custody and fund administration services provider for Daiwa SB Investment's first Hong Kong domiciled fund of the Japan High Dividend Stocks Fund. 

The Japan High Dividend Stocks Fund was introduced in October 2017 and is the first Hong Kong-domiciled product that is investing in both the Japanese stock market and is also managed by the Japanese fund house. 

"This is our first SFC-authorized fund and entrance into the competitive retail market in Hong Kong," Jay Okada, managing director of DSBI, said in a press release. 

Okada believes that through the new alliance, DSBI will be able to gain the expertise that the Hong Kong market has, as well as creating a unity across borders.

"The entry of a leading Japanese asset manager into the Hong Kong fund space affirms Hong Kong's draw as a fund domicile and supports the growth potential of the Mutual Recognition of Funds channel," Scott McLaren, head of BBH Hong Kong, said.

Hong Kong-domiciled funds have increased 145 percent in the last five years and the total asset value of the unit trusts have increased to $151 billion.