Home
News
In Focus
Business
Metro
Nation
World
Sports
Feature
Opinion
View more »Opinion Columns
Wan LixinOpinion deputy editor of Shanghai Daily
Restaurants get off to a quick start thanks to game-changing policies
High service charges on event ticket refunds call for further regulation
Sunday
- Subscribe
CSRC tightens rules on fund outsourcing
Print Edition
CHINA’S securities regulator has introduced new restrictions for financial institutions seeking to outsource fund management to external fund managers, the Securities Times said yesterday, as the government tightens shadow banking.
Financial institutions such as banks and insurers have been giving fund-management mandates for funds exceeding 1 trillion yuan (US$145 billion) to mutual fund houses as they outsource their wealth-management operations, the newspaper said.
Regulators are worried that such funds are used as a shadow banking channel by lenders to make risky bets in corporate bonds or equities, without effective management by the external fund house.
To prevent this, the China Securities Regulatory Commission has issued rules requiring funds where single institutions control 50 percent or more to operate as closed-end funds, and barring them from getting subscriptions from individual investors, according to the report.
Mutual fund houses, their senior executives or fund managers must also invest at least 10 million yuan into such funds, hold the stake for at least three years, and operate independently, the newspaper said.
- About Us
- |
- Terms of Use
- |
-
RSS - |
- Privacy Policy
- |
- Contact Us
- |
- Shanghai Call Center: 962288
- |
- Tip-off hotline: 52920043
- 沪ICP证：沪ICP备05050403号-1
- |
- 互联网新闻信息服务许可证：31120180004
- |
- 网络视听许可证：0909346
- |
- 广播电视节目制作许可证：沪字第354号
- |
- 增值电信业务经营许可证：沪B2-20120012
Copyright © 1999- Shanghai Daily. All rights reserved.Preferably viewed with Internet Explorer 8 or newer browsers.
