HSBC given nod on Chinese investment scheme
(China) China Securities and Regulatory Commission (CSRC) has approved HSBC’s application for a license to trade in the local currency under the Qualified Foreign Institutional Investor (QFII) scheme.
HSBC now requires the State Administration of Foreign Exchange Control to rubber stamp the license before it can participate in China’s investment markets. If given the go-ahead, HSBC will invest an initial US$100 million. Dutch giant ING recently applied under the scheme to invest the same amount.
The QFII scheme allows foreign investment banks to act as brokers for foreigners looking to invest in Chinese companies by entering China’s previously off-limits US$500 million A-share market.
So far, seven international financial institutions have been granted access under the QFII scheme: UBS, Normura, Deutsche Bank, Morgan Stanley, Citigroup, Goldman Sachs and HSBC.
HSBC, which has operated on mainland China for 138 years, received more positive news when it was named ‘Best Foreign Bank in China’ for 2003 by Finance Asia magazine, for the third time in a row.
The QFII scheme allows foreign investment banks to act as brokers for foreigners looking to invest in Chinese companies by entering China’s previously off-limits US$500 million A-share market.
So far, seven international financial institutions have been granted access under the QFII scheme: UBS, Normura, Deutsche Bank, Morgan Stanley, Citigroup, Goldman Sachs and HSBC.
HSBC, which has operated on mainland China for 138 years, received more positive news when it was named ‘Best Foreign Bank in China’ for 2003 by Finance Asia magazine, for the third time in a row.
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