Launch of Southbound Bond Connect: China Mainland Institutional Investors to Invest in Hong Kong Bond Market
17th September 2021 | Hong Kong
The Central Banks of China and Hong Kong has announced the launch of Southbound Bond Connect, which will provide China Mainland institutional investors a secured channel to invest in the Hong Kong bond market via the connection between the Mainland and Hong Kong financial infrastructure services institutions. The Southbound Bond Connect will be launched on 24 September 2021.
“ Launch of Southbound Bond Connect: China Mainland Institutional Investors Can Invest in Hong Kong Bond Market “
Eddie Yue, Chief Executive of the HKMA:
“The launch of Southbound Trading marks another milestone of mutual access between Hong Kong and Mainland capital markets. Northbound Trading has been operating smoothly since its launch more than four years ago, and has been well received by international investors who trade Mainland bonds through Hong Kong. The scheme has attracted huge capital flows into the Mainland financial markets and created enormous opportunities for Hong Kong’s financial institutions. The success of Northbound Trading has laid a good foundation for the launch of Southbound Trading.
The HKMA has maintained a close dialogue with the PBoC over the past few months on the policy framework of Southbound Trading. It gives me great pleasure to see the implementation of Southbound Trading. I am confident that Southbound Trading will deepen the two-way opening up of the Mainland financial markets and promote the vibrant development of the Hong Kong bond market, thereby consolidating Hong Kong’s status as an international financial centre.”
- Launch of Wealth Management Connect: Greater Bay Area with $1.64 trillion GDP and Population of 71.2 million
- Hong Kong Exchange Launches MSCI China A 50 Connect Index, Gives Investors Additional Tool to Manage Portfolio Risks
- HSBC & Nielsen Survey: 82% of China GBA Mainland Investors to Invest in Wealth Management Connect
- China Regulators Set $23.2 Billion Quota for Greater Bay Area Wealth Management Connect
- Hang Seng Launches Hang Seng Stock Connect China 80 Index
- Hong Kong Financial Services Council Releases Report on Financial Connectivity in Greater Bay Area & Guangdong, Hong Kong and Macao