Asset managers outline their Bond Connect requests

Author: Karry Lai | Published: 16 Jul 2019

According to panelists at the Bond Connect Anniversary Summit 2019 in Hong Kong asset managers are hoping to see further enhancements in the two year old scheme that would allow it to expand and improve foreign investor access. Further initiatives such as repurchase agreement (repo) mechanisms, derivatives and bond index funds can help, but ensuring there is sufficient supporting regulation and documentation in place to ease this process is key.

Bond Connect, which has just celebrated its second anniversary, allows mainland Chinese investors and foreign investors to access each other’s markets.  

Gao Fei, deputy inspector, financial market department at the People’s Bank of China, outlined a number of enhancements that are in progress to help enhance the Bond Connect scheme and the Chinese bond market. The alignment of Chinese bond standards with international ones is a top priority, he said, including more local and global custodian cooperation as...