Guidelines on asset management products are tightened by China’s key bank

Guidelines on asset management products are tightened by China’s key bank

On Friday, China's key bank released draft guidelines for the purpose of tightening regulations on financial institutions' asset management business, which is a major component of the country's rampantly ascending shadow banking sector.

The fresh guidelines unified top-level rules for asset management products issued by trust firms, financial institutions, insurance asset management companies, fund, securities firms as well as futures companies. That’s what the People's Bank of China told in an online statement released jointly with the country's insurance, securities, banking as well as foreign exchange regulators.

Banks aren’t permitted to utilize asset management products to pump funds in commercial banks' credit assets or provide so-called "channel service" for other banks to dodge regulations, as the new draft rules states.

Aside from that the guidelines forbid banks from conducting asset pools just to manage funds raised via asset management products.

Similar

Latest news

Deposit with your local payment systems

Learn more

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.

Callback

A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Next callback request for this phone number
will be available in 00:30:00

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

Beginner Forex book

Beginner Forex book will guide you through the world of trading.

Beginner Forex book

The most important things to start trading
Enter your e-mail, and we will send you a free Beginner Forex book

Thank you!

We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera