On December 1, the Guangdong Branch of the People's Bank of China, the Shenzhen Branch of the People's Bank of China and other departments issued a notice for public comment on the Implementation Rules for the Pilot Program of Cross-boundary Wealth Management Connect in the Guangdong-Hong Kong-Macao Greater Bay Area (Draft Revisions) (hereinafter referred to as the "Implementation Rules"), and at the same time issued instructions for the drafting of the Implementation Rules. According to the notice, in combination with the market demand for cross-border wealth management in the Guangdong-Hong Kong-Macao Greater Bay Area, the relevant departments have made some amendments to the implementation rules in response to the focus of market entities and the difficult issues reported by market supervision departments and commercial banks, including lowering the entry threshold for the "cross-border wealth management connect" business, expanding the scope of the pilot, and optimizing the handling process.
The Detailed Implementation Rules proposed to further improve the convenience of investors participating in the business pilot. The first is to lower the entry threshold for investors. The threshold for Mainland investors to participate in the Southbound Scheme has been lowered from "five consecutive years" to "two years" after paying social security or individual income tax consecutively. At the same time, "my average annual income in the past three years is not less than 400,000 yuan" is added as one of the alternative conditions for the access of household financial assets. The second is to appropriately increase the quota of individual investors. Increase the investment limit for a single investor from RMB 1 million to RMB 3 million. If an individual participates in the pilot through a bank and a ** company at the same time, the two channels each have a quota of 1.5 million yuan.
The Detailed Implementation Rules point out that the scope of the Cross-boundary Wealth Management Connect pilot business will be expanded in various ways. The first is to expand the scope of participating institutions. Increase the participation of ** companies in the pilot, and clarify their participation methods and related business arrangements. The second is to expand the scope of joint venture 1 grid products. In the scope of investment products under the Northbound Scheme, RMB deposit products from Mainland banks will be added. At the same time, the scope of public offering **investment** of "'R1' to 'R3' risk level" will be expanded to "'R1' to 'R4' risk level" public offering **investment**, excluding commodities***
The "Cross-boundary Wealth Management Connect" pilot is an important measure for financial support for the construction of the Greater Bay Area, and it is also an important attempt for China to promote capital account convertibility and promote financial interconnection in the Guangdong-Hong Kong-Macao Greater Bay Area. According to the disclosure of the Guangdong Branch of the People's Bank of China, at present, 6290,000 people, involving 865.8 billion yuan.