Credit Suisse's China mutual fund lost more than half its value in the first quarter as asset value fell from US$493 million to US$240 million, the Financial Times reported. This setback, which comes despite a rebound in China's stock markets, is another piece of bad news for foreign mutual funds following a similar loss for Schroders' joint venture fund in the last three months of 2005. The loss has been blamed on Industrial and Commercial Bank of China, the Swiss bank's joint venture partner, pressuring employees and clients to buy into the fund. A large number of mutual fund investors in China have pulled out since mid-2004 due to poor stock market performances. Credit Suisse, which has a 25% share in the joint venture, put the decline down to "short-term profit-taking behavior" on the part of investors in response to A-share market gains.