The process of Chinese public funds going overseas has been accelerated, building a bridge for foreign investors to invest in China.n

On October 27th, the chairman of the China Securities Regulatory Commission (CSRC), Wu Qing, mentioned at the Financial Street Forum Annual Conference that the Qualified Foreign Institutional Investor (QFII) system will be optimized. Industry insider

In fact, the road to internationalization of China's public funds has made significant progress. Their overseas subsidiaries take the Hong Kong market as the bridgehead, and gradually expand to broader overseas markets. For example, at the end of Jun

In terms of setting up overseas subsidiaries, the layout of public fund companies is also expanding, gradually expanding from Hong Kong to Macao, Singapore, and even New York. Up until now, more than 20 public fund companies have established overseas

From "Bringing In" to "Going Out"

In the past, public funds achieved the goal of “bring in” by providing diversified investment tools for domestic investors and enriching asset allocation categories. Nowadays, public funds are going out more actively. With the rising popularity of th

In June 2024, the Shenzhen Stock Exchange and the foreign shareholder of JPMorgan China Fund Management, JPMorgan Chase & Co., signed a cooperation letter of intent at the Irish Exchange to promote the startup board market overseas. In the same month

This ETF product is promoted in Europe, the Middle East, Africa, Asia Pacific, and Latin America. It is also the first ETF product in the European market to track the Shenzhen A-share index, representing a case of the internationalization of China's

Public institutions are also making new attempts for the internationalization of Chinese assets. As for the going-out strategy of China's assets, Chen Wenyu, the deputy general manager of Jingshun Great Wall Fund Management, once pointed out that the

Referring to the product design of public funds 'overseas business, Chen Ying, general manager of Nuoan Fund's international business department, told Times Finance,"Currently, the product lines of fund companies' overseas layout are mainly broad-bas

Chen Ying further mentioned that the internationalization of public funds not only meets the increasingly global asset allocation needs of investors but also serves as the only way for fund companies to enhance their overall competitiveness and achie

Chen Ying believes that China's continued promotion of policies such as the two-way opening of financial markets has provided a institutional foundation and operational space for mutual funds to go out and bring in, including: expanding foreign inves

Overseas subsidiaries are being established successively

It is also crucial to further expand the international influence of Chinese institutions. In addition to fund companies actively establishing overseas subsidiaries and vigorously expanding their overseas businesses, regulators and related association

Times Finance recently learned that E Fund's application to establish a company in China Macao has been filed and approved by the China Securities Regulatory Commission. It is understood that the name of the company is proposed to be E Fund Investmen

E Fund told to FinanceGN that this is a new step taken by E Fund to respond to the high-level opening of the capital market and accelerate its international layout. By establishing a company in Macao, E Fund can fully leverage its professional capabi

Global Fund of China's Xingzheng is also making overseas investment. On June 27th this year, the China Securities Regulatory Commission approved Xingzheng Global Fund to invest its own funds in Singapore to set up Xingzheng Global Asset Management (S

The regulatory aspect has also shown a clear attitude towards public funds entering overseas markets. The China Securities Regulatory Commission (CSRC) issued a document in July 2023, encouraging eligible public fund companies to establish overseas s

In its latest issue of the Institutional Regulatory Update, the Securities and Futures Commission's Securities Fund Institution Supervision Department stated that in recent years, the overseas subsidiaries of publicly traded fund management companies

Moreover, the China Securities Investment Fund Association (hereinafter referred to as the Fund Association) has traveled to New York, Frankfurt, London, Dubai, Abu Dhabi and other places to participate in many China's asset management industry promo

Recently, the Fund Industry Association will also participate in the China Asset Management Industry Promotion Conference, which aims to build a platform for global investors to understand the Chinese capital market and the world-facing Chinese fund

Public Fund Products and Institutional Innovation Continue

From its initial layout in Hong Kong to its current global presence, the product innovation of mutual funds has been continuous and has already made remarkable progress. Currently, mutual funds exhibit a wide range of characteristics and many types o

At the 25th China International Investment and Trade Fair, Chairman of Bosera International Lian Shaodong stated that as of the end of 2024, the asset management scale of Chinese fund companies in Hong Kong will reach 3.08 trillion Hong Kong dollars,

She further stated that the latest fund size ranking data disclosed by the Hong Kong Exchange's comprehensive fund platform shows that Hong Kong-registered funds managed by member companies of the Hong Kong Chinese-funded fund industry association ac

Moreover, overseas product innovation in the public fund industry has been continuous, with product coverage expanding from Hong Kong to the global market gradually.

In 2024, Bosera International will issue Bosera U.S. Treasury bonds with more than 20 years old, filling the gap in ultra-long-term passive products in the Hong Kong market; in addition, as one of the first issuers in Asia, it will launch virtual ass

China's public fund business has also been active in asset allocation to emerging countries and regions. In August 2024, E Fund, a Chinese asset management company, signed a cooperation memorandum with Itaú Unibanco Holding Financeira, an asset manag

Top fund companies steadily expand overseas markets, and many middle-tier public fund companies are also exploring their own product systems to go overseas.

Chen Ying also introduced to The Times Finance that Noah Fund currently has three international public QDII funds with themes in gold, crude oil, and real estate. Regarding the future overseas layout and trends of Noah Fund, Chen believes that as the

Institutional innovation has also been continuously advancing. On October 27th, the China Securities Regulatory Commission (CSRC) released the Work Plan for Optimizing the Qualified Foreign Investor (QFII) System on its official website, clarifying t

The above plan mentioned the implementation of getting things done efficiently by establishing a green channel and simplified procedures for the access of allocated foreign capital from sovereign funds, international organizations, pension funds, and