SHANGHAI, March 30 China granted $750 million in
new quotas during the fourth quarter of 2010 for foreign asset
managers to invest in its capital markets, official data from
the foreign exchange regulator showed.
The new quotas, under the "Qualified Foreign Institutional
Investor" (QFII) scheme, bring the total amount of foreign funds
that can be invested in China's stock and bond markets through
the scheme to $19.72 billion.
Under QFII, approved institutions may invest in Chinese
capital markets within quotas set by the State Administration of
Foreign Exchange (SAFE), the foreign exchange regulator.
Two Chinese institutions were also given $400 million in
quotas during the fourth quarter to invest overseas through a
mirror programme, dubbed the Qualified Domestic Institutional
Investor (QDII) scheme.
Guotai Junan Securities and Orient Securities each obtained
a QDII quota of $200 million in the fourth quarter, bringing the
total amount of quotas under that scheme to $68.36 billion as of
the end of 2010.
Some fund managers have predicted that the number of QDII
funds could double this year to more than 60, even as asset
managers struggle to attract retail interest towards QDII
Company New QFII quota
OFI Asset Management $150 mln
Aberdeen $200 mln
BNY Mellon $150 mln
Fidelity (Hong Kong) $150 mln
Daiwa Securities* $100 mln
Company New QDII quota
Guotai Junan Securities $200 mln
Orient Securities $200 mln
* Additional quota, bringing Daiwa's total to $200 million
Full list of QFII quotas (in Chinese):
Full list of QDII quotas (in Chinese):
(Reporting by Soo Ai Peng; Editing by Jason Subler and Ken