“In recent years, there is a clear trend of capital market open-up acceleration and a variety of
schemes/channels have been adopted to facilitate overseas investors to access China equity,
bond and other markets.
SUN Wei.
Founder of ATC Initiative
As the second largest economy in the world, China’s economic significance is well recognized. However, foreign capital participation in Chinese capital market is very low, although China also ranks high in the size of these markets (2nd largest equity market and 3rd largest bond market). This is largely due to the capital control still in place. But in recent years, there is a clear trend of capital market open-up acceleration and a variety of schemes/channels have been adopted to facilitate overseas investors to access China equity, bond and other markets. Interestingly, it is quite notable that there is healthy competition between some of the channels to attract more overseas capital.
In this issue, we have decided to open up an Education section, providing an overview of China’s capital market, which including Equity Market; Bond Market; Derivatives Market and to claim out the regulators in China. In addition, we also provide an introduction in which way the foreign institutional investors/asset managers can allocate to China and provide feasible solutions for them to enter China’s capital market.
Equity Market
China A-share market consists of four boards, the most important is the Main Board, which is designed for the listing of large-scale companies…
Bond Market
China now has the third-largest bond market worldwide, with a depository balance over RMB 84 trillion, it is dominated by…
Derivatives Market
There are 3 kinds of Stock Index Futures traded in Chinese capital market and China Financial Futures Exchange (CFFEX) is the only exchange providing…
Regulators & Other Related Stakeholders
The People’s Bank of China (PBOC) is the central bank of the People’s Republic of China. Under the leadership of the State Council, PBOC is responsible for…
Chinese Capital Market Entry Mode
QFII (Qualified Foreign Institutional Investors), which is a program that allows foreign institutional investors to apply for the license in order to…
