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You are here: Fund China > Fund News > BOC: Bank QDII use only the amount of 640 million U.S. dollars

BOC: Bank QDII use only the amount of 640 million U.S. dollars

By Fund China
Published: 00:21, June 26th, 2007

BOC International (China) Limited research, Although the A-share just from the increased stamp duty twice last month with the death was passed to recover from that However, H-shares in the past few weeks has been sustained upsurge. Hang Seng China Enterprises Index from early May of 9933, reached on the 21st of 12,208 points, less than two months rose by 22%. H Shares robust performance is the direct driving force within the past few months announced a series QDII scheme massive inflow of funds into Hong Mainland Hong Kong market rumors. The report says that needs to be pointed out, not including unofficial channels, there are at least three different QDII scheme, respectively at the banks, insurance companies, fund companies and securities companies.

CBRC on May 13 issued a circular The existing commercial banks are QDII amount of 50% can be used for investment in overseas stock markets. Investments in stocks funds should not exceed single financial products to the total net asset value of 50%; invest in a single stock funds shall not exceed single financial products to the total net asset value of 5%; starting point for a single client sales amount shall not be less than 300,000 yuan, and therefore the product is obviously not geared to the mass market.

Currently, the banking system QDII aggregate limit around 14.5 billion U.S. dollars. This shows that about 7 billion U.S. dollars may flow the Hong Kong market. However, early this year a QDII Issue of equity funds has not been widely recognized market, and retail investors, who are also featured in the A-share market faster return on investment, Therefore QDII Unit Claims Balanced Fund product can be successful or not is still a question mark. Currently, 14.5 billion U.S. dollars limit the amount actually used only 640 million U.S. dollars.

Copyright Fund China 2008.

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