China WMPs raise liquidity, transparency worries

As China’s banking regulator seeks to limit the risk of wealth management products (WMPs) in the banking sector, some market participants are looking to clarify what they see as the major issues: chiefly liquidity and transparency. Banks are reportedly now required to finish examining and – where needed – make changes to their capital-pool WMPs before April. If they don’t satisfy the China Banking Regulatory Commission (CBRC), it might consider halting the firm’s WMP business. T…