Short selling and margin financing volumes by offshore investors in China are set to take off following the new relaxation measures last month.
Citi, HSBC and Standard Chartered all successful facilitate margin financing and securities borrowing transactions in China for global investors under the Qualified Foreign Institutional Investors (QFII) scheme.
The fund invested is the first private fixed income fund launched by Barings Investment Management (Shanghai).
Citi and HSBC were the two custodian banks that facilitated the completion of the securities lending transactions in the China A-shares market.
The two investment schemes are a major part of China’s strategy to open its capital markets to global investors.
The move forms part of its overall strategy to simplify access to China for institutional investors that have, so far, found it too complicated to invest.