CIMB-Principal first in Malaysia to obtain RQFII licence
KUALA LUMPUR: CIMB-Principal Asset Management Bhd (CIMB-Principal) has become the first asset management company in Malaysia to obtain the renminbi qualified foreign institutional investor (RQFII) licence.
The licence was recently awarded to CIMB-Principal by the China Securities Regulatory Commission (CSRC).
CIMB-Principal chief executive officer Munirah Khairuddin commented, “With the RQFII licence, we will have direct access into China’s capital markets and invest in the hitherto inaccessible products such as the A-shares and bonds of China entities.
“We plan to develop and introduce more innovative products that invest in China onshore securities, as well as diversify some existing investment portfolios directly into China’s onshore equities and fixed income securities. This, I believe, will definitely add value to our customer proposition for both Malaysian and international clients.”
CIMB-Principal has appointed HSBC (Malaysia) Trustee Bhd as Trustee, The Hongkong and Shanghai Banking Corporation Ltd as Global Custodian and HSBC Bank (China) Company Ltd (HSBC) as its China RQFII custodian.
As the onshore custodian bank in China, HSBC facilitated CIMBPrincipal’s application for the first
With the RQFII licence, we will have direct access into China’s capital markets and invest in the hitherto inaccessible products such as the A-shares and bonds of China entities. Munirah Khairuddin, CIMB-Principal CEO
Malaysia RQFII licence, demonstrating its continued leadership in helping global investors access the Chinese securities markets.
Commenting on the announcement, Mukhtar Hussain, chief executive officer of HSBC Malaysia said, “We are proud to be appointed the custodian bank for Malaysia’s first RQFII.
“The size of the RQFII quota granted to Malaysia is further evidence of China’s commitment to granting investors greater access to its markets.
“We are confident this will be the first of many investments flowing through the China-Malaysia business corridor, which is growing in importance every year. HSBC has a number of firsts in servicing institutional investors in China.”