Asset managers point to changes they would like to see under the China-Hong Kong mutual recognition scheme to make it a more cost-effective business proposition.
As Hong Kong's Mandatory Provident Scheme Authority releases its 15-year performance review ahead of reforms due this year, the city's funds industry still sees issues to be tackled.
The number of international fund managers using the Shanghai-Hong Kong trading link has risen significantly in the past year, despite the turmoil in Chinese equity markets.
Industry welcomes long-awaited launch date and raises prospect of expansion, but ponders who’s best placed to benefit and whether compromises are being made.
Regulator sets out beneficial ownership situation for Stock Connect's foreign investors, months after the trading link went live. The move could pave the way for the launch of Shenzhen Connect.
A rebound in global and regional equity funds has seen Hong Kong record positive inflows, although bond and balanced vehicles have suffered. A bright future is forecast for RMB product.
Net inflows were dominated by fixed-income assets last year. Although inflows should remain healthy, they are unlikely to hit similar heights in 2013, says Lieven Debruyne.
The Hong Kong Investment Funds Association says the territory’s regulators should take their cue from Europe and the US before proceeding with new proposals.
Net redemptions from this category were the highest among all funds in the first six months of the year, finds the HKIFA. EM equity sales also suffered, although EM bonds picked up.