Mossack Fonseca: China Opens Bond Market to Individual Investors
Mossack
Fonseca - China’s central bank allowed individual investors to purchase all
types of bonds over bank counters beginning 14 February 2016. Individuals with
annual incomes of more than 500,000 yuan ($76,500), 3 million yuan of financial
assets, and over two years of securities investment experience can now buy any
bonds they like over the counter. Previously, only certificate treasury bonds
were available to individuals.
The new policy aims to boost
the bond market and
direct financing. China’s bond market boomed in 2015 due to government
policies aimed at diversifying corporate financing channels. Approximately 22.3
trillion yuan of new bonds were issued last year, almost double the sum in
2014.
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