Despite the introduction of Bond Connect last year, Beijing still has hurdles to clear if it is to attract more meaningful international flows to its debt market.
Several operational issues with the mutual market access scheme linger six months after launch. We identify the five most pressing issues preventing more investor participation.
While some fixed income experts hope Chinese bonds will be included in major indices this year, others feel issues with Bond Connect will delay such inclusion into 2019.
But it may be some time before China inks its own cross-border funds agreement with another country.
Investors look set to use the Chinese cross-border scheme for some years yet. It still offers certain advantages over Stock Connect, including lower trading costs, say fund executives.
Harvest Global Investments has qualified for the Switzerland-Hong Kong mutual recognition of funds scheme, but the hard work is to come – and it will take time.
China's central bank has clarified operational details of the market access scheme, through which Standard Chartered expects strong early trading in July.
As index provider MSCI confirms it will add Chinese stocks to its influential emerging-markets benchmarks, experts across the region give their thoughts.
Far fewer Chinese stocks than planned will be initially included in MSCI's emerging markets indexes. Some suggest the firm may have felt compelled to relax certain criteria.
Big fixed income investors will see the newly approved China-Hong Kong bond trading link as inferior to other access channels, though smaller players should find it useful, say industry experts.
Buy- and sell-side executives discussed big market trends in the aftermath of the Brexit vote at the London Stock Exchange's Greater China Conference in Hong Kong on June 29.