We asked two investment specialists and one custody services expert what the outlook for the upcoming Shanghai-London scheme is, given the uncertainty surrounding Brexit.
High prices, strict capital controls, renminbi weakening and over-supply concerns are all cited as factors hurting offshore flows into mainland commercial real estate.
Despite Britain’s vote to leave the EU, Select Property Group is doing a brisk trade selling flats in Manchester to Asian clients. It has just opened in Shanghai and is eyeing Hong Kong too.
iShares will launch its new MSCI-linked A-share exchange-traded fund at a time of negative sentiment on Chinese equities and into an already crowded space.
Shenzhen is believed to have handed out licences – but only $1 billion in extra quota – to another 30 fund houses under its QDIE cross-border alternative investment scheme.
UBS Asset Management plans to launch three or four products under the Shanghai QDLP scheme, amid rising interest from Chinese investors in foreign assets.
Having received a QDLP licence, the Hong Kong fund house is selling its China joint venture and targeting mainland retail and high-net-worth clients via a three-pronged strategy.
Fund managers debate concerns that Hong Kong’s stock market is beholden to the immaturities of trading in mainland China.
Fund managers, already concerned about Beijing’s intervention in the stock market, won’t welcome a proposed index circuit breaker.
Shanghai included China Investment Fund Management in its cross-border alternatives investment scheme, a further expansion that also creates rivalry among local cities.
The level of intervention and overt influence by Chinese authorities on the market is making foreign observers uneasy, particularly on the wider implication for future bail-outs.
Axa's Mark Tinker reckons the latest Stock Connect moves are part of a deliberate Chinese policy to calm down the Shanghai market while boosting longer-term ambitions for international capital.