China has scrapped the quota of its two leading inbound investment programmes, but the move appears unlikely to give its onshore capital markets a shot in the arm.
The de facto central bank's commitment to an IFC programme underscored its interest in infrastructure investing, following its opening of an office dedicated to such funding last year.
On Friday China's securities regulator removed the asset allocation limits under the two cross-border investment scheme, in a bid to boost foreign flows.
Beijing has relaxed the renminbi qualified institutional investor (RQFII) quota rules, as it did for the QFII scheme in February. It is hoped the move will address capital-repatriation hurdles to MSCI inclusion.
The Monetary Authority of Singapore is the first central bank to assign renminbi assets as foreign reserves. Other central banks are tipped to follow suit and boost their RMB investments.
The Chinese authorities have moved to address outstanding investor concerns over access to the mainland interbank bond market by issuing guidance and rules on capital remittance.
Swiss Re hires head of China asset management business; BlackRock deregisters its China WFOE; DWS names head of Apac insurance coverage; Amundi appoints first Asia sustainability officer; Manulife IM appoints senior portfolio manager for asset allocation; Morgan Stanley IM hires portfolio manager for A-shares; and more.
CPPIB, Omers and OTPP are busy hiring in the region for investment talent in credit, real assets and particularly equities. Omers is also planning to add office space in Singapore.
Although sustainable funds have seen increasing inflows amid growing environmental awareness and the spotlight on social issues due to Covid-19, the industry still lacks a standard definition of sustainable investing. Nicholette MacDonald-Brown, head of European blend equities at Schroders, explains the firm’s three-pronged approach of people, process and purpose.
Special purpose acquisition companies (Spacs) have gained ground as financing vehicles for companies looking to go public. But Asian family offices have yet to make many investments.
De-risking and green securitisation will help unlock much-needed institutional capital for sustainable infrastructure projects in Asia, say executives at multilateral development banks.
The Canadian and Korean asset management operations of two life insurers have agreed to jointly take advantage of rising institutional investor demand for Asian alternative assets.
China Pacific Insurance appoints new chairwoman, COO; AMP's CEO to leave by third quarter; Robeco announces duo in senior China roles; Axa IM hires head of institutional sales for Asia; GLP names co-president for logistics; BlackRock sells onshore Korea distribution business; Income Partners poaches head of distribution from Vanguard; and more.
The Hong Kong-listed shares of mainland companies should receive more interest as Chinese pensions and global investors seek to benefit from relatively low valuations.