Xinhua News Agency, Beijing, Feb. 26 (Xinhua) -- The newly revised implementation rules for the pilot implementation of the "Cross-boundary Wealth Management Connect" business in the Guangdong-Hong Kong-Macao Greater Bay Area came into effect on the 26th, marking the "Cross-boundary Wealth Management Connect" 2Version 0 is launched.
The revised implementation rules make a series of optimizations to the original pilot policies, including: optimizing the access conditions for investors, adding an optional condition for mainland investors to have an average annual income of not less than 400,000 yuan in the past three years; The new ** company is the pilot body; increase the individual investor quota from $1 million to $3 million; Renminbi deposit products of Mainland distributing banks will be included in the scope of eligible products under the Northbound Scheme.
The revised implementation rules were announced on January 24 this year. The reporter learned that a number of banks are promoting the upgrading of related products and services to meet the needs of investors.
HSBC said that from the 26th, it will increase the personal investment quota of the "Cross-boundary Wealth Management Connect" to a maximum of RMB3 million, allowing mainland residents in the Greater Bay Area who meet the new regulation of "an average annual income of not less than RMB400,000 in the past three years" to participate in the "Southbound Scheme", and significantly expand the scope and number of products. HSBC currently offers about 250 low- to medium-to-high-risk products for Northbound and Southbound investors, including more than 100 Southbound Schemes for overseas markets**
Standard Chartered Bank has launched a number of new products under the Southbound and Northbound Schemes respectively. Among them, the number of wealth management products under the Southbound Scheme has increased to nearly 550, covering medium- and high-risk bonds** and low- to medium-risk bonds in major investment markets. Under the Northbound Scheme, RMB deposit products and more than 40 publicly offered investments** with a risk rating of "R4" have been added, covering new consumption, new energy, new infrastructure and other fields.
DBS Bank said it will provide more than 220 wealth management products to investors under the Southbound Scheme, including **, bonds, renminbi, Hong Kong dollar and foreign currency deposits. DBS also plans to introduce incentives such as subscription fee waiver, preferential fixed deposit interest rates in different currencies and account service fee waiver.
In an online survey conducted by HSBC among more than 2,000 residents in 11 cities in the Greater Bay Area (GBA) from January to February this year, about a quarter of respondents expressed interest in investing $1 million or more in products through the WMC in the next 12 months. On average, respondents expect an investment of about RMB710,000.
The upgraded WMC further broadens the range of investable products and facilitates better global asset allocation. Ms. Cheng, a resident of Guangzhou, told reporters.
The Cross-boundary Wealth Management Connect (WMC) has been piloted since 2021. As of the end of 2023, there are 67 banks in the Guangdong-Hong Kong-Macao Greater Bay Area90,000 individual investors participated in the pilot project of the "Cross-boundary Wealth Management Connect", and handled a total of 12.8 billion yuan of cross-border remittances and transfers. In 2023, the amount of cross-border remittance and transfer of funds related to the cross-boundary wealth management connect pilot will be 105900 million yuan, a year-on-year increase of 38 times.
At the end of January, the People's Bank of China announced that the People's Bank of China and the Hong Kong Monetary Authority had decided to launch six policy measures to deepen financial cooperation between the mainland and Hong Kong, and consolidate and enhance Hong Kong's status as an international financial centre. These include enhancing the implementation rules of the Cross-boundary Wealth Management Connect pilot project in the Guangdong-Hong Kong-Macao Greater Bay Area, and expanding and facilitating investment channels for individuals in the Greater Bay Area.
Mr Philip Lam, Chief Executive Officer of Standard Chartered Bank GBA, said: "The Cross-boundary WMC is of great significance to promoting mutual access of financial markets in the GBA and the two-way opening up of the Mainland's financial marketsVersion 0 further boosts the growth of wealth management business in the Greater Bay Area. ”
Xinhua News Agency reporter Ren Jun.