Cross-border investment

When will China lift outbound capital limits?

Now that the quota limits of QFIIs are gone, should Chinese domestic investors expect their overseas investment restrictions to go away as well? Five specialists give their views.

China has lifted the investment restrictions on its Qualified Foreign Institutional Investor QFII and Renminbi Qualified Foreign Institutional Investor RQFII programmes.

Although largely a symbolic move, given the infrastructure already in place for cross-border trading such as the Shanghai-Hong Kong Stock Connect, it highlights Beijing's growing efforts to draw foreign capital to its onshore markets.

However, it's not two-way. Domestic asset owners are still bound by overseas investment quotas and some aren’t allowed to allocate outside of China at all, even though pressure to diversify globally is growing among Chinese institutional investors.

Despite reports early last year suggesting the restarting of...
¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222