HSBC has become the first bank to facilitate access to the Chinese Inter-bank Bond Market for an overseas investor.
Through HSBC, UK asset manager Investment Insight was able to register with the Chinese regulator to invest in the CIBM. This makes HSBC the first bank to facilitate access since the announcement in February that the CIBM would open up to foreign investors, through a registration process.
HSBC will now act as the settlement agent bank and custodian for Investment Insight.
Cian Burke, global head of securities services at HSBC, said: “China’s continuous opening up of its domestic bond market to foreign investors underpins the country’s determination to push forward its financial reform. The broader access and simplified process make it easier for overseas investors to tap into growth opportunities of the CIBM, which is already the world’s third largest fixed income market.”
Sophia Chung, HSBC’s head of securities services for China, added: “HSBC is pleased to facilitate the first registration under the relaxed rules, which further demonstrates our leadership and expertise in servicing overseas institutional clients.”
Insight Investment has assets under management of £440 billion, as of 31 March, including fixed-income, liability-driven investment and real estate assets.
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