What we do.
On 14 May 2020, the People’s Bank of China (PBOC), China Banking and Insurance Regulatory Commission (CBIRC), China Securities Regulatory Commission (CSRC) and State Administration of Foreign Exchange (SAFE) issued a Circular in which several measures for promoting an integrated financial services market within the Guangdong-Hong Kong-Macau Greater Bay Area (GBA) were unveiled.
One of the initiatives, Wealth Management Connect (WMC), is a two-way scheme allowing residents of mainland cities in the GBA to invest in wealth management products distributed by banks in Hong Kong and Macau, and residents of Hong Kong and Macau to invest in wealth management products distributed by mainland banks in the GBA.
It is a perfect example of how the big GBA cluster will work in practice. Since the scheme will allow GBA residents to purchase financial products in any one of the nine cities in GBA as well as the two special administrative regions, Hong Kong and Macau, this new strong freedom to diversify into cross-border investments is expected to be highly popular among Guangdong’s affluent middle class. It is also seen as a way for Hong Kong to further cement its role as a Financial Hub. While conventional banks will be the prime beneficiary of the scheme at the early stage, small and medium fund houses will share the pie that is for sure getting larger and larger.
And these private fund houses are the main business partners and targets of our company business.
