Citi said that it has introduced the Chinese Government and Policy Bank Bond Index, to expand its range of onshore and offshore local currency Chinese bond indices.
The group commented that the Chinese bond market is becoming an increasingly important asset class for global investors. Based on observations of fund products tied to the Citi Dim Sum (Offshore CNY) Bond Index, the products’ assets under management have nearly quadrupled in the past year alone. Also, Citi’s onshore index, the Chinese Government Bond Index, has drawn attention from creators of investable products.
“We witnessed a surge of interest in offshore investment opportunities when financial reforms opened access to global investors,” said Susan Lin, head of Citi fixed income indices and the yield book in Asia Pacific. “With the onshore market at roughly US$4 trillion and growing, we are confident that our latest addition will draw similar interest from product providers and investors alike.”
The Citi Chinese Government and Policy Bank Bond Index measures the returns of yuan (CNY)-denominated fixed-rate book-entry government bonds and policy bank bonds issued in mainland China. The eligible Chinese policy bank bonds are those issued by the China Development Bank (CDB), the Agricultural Development Bank of China (ADBC), and the Export-Import Bank of China. These policy banks are state-owned and their objectives typically include providing social benefit, stimulating the economy and supporting growing local industries.
A report by broking group Marsh examines the repercussions from the administration of the South Korean company, which filed for bankruptcy protection at the end of August.
Global research by C2FO suggests that smaller businesses are less concerned with the repercussions of Brexit and the upcoming US presidential election.
A squeeze on skilled talent means it now takes an average of seven weeks to fill open permanent roles in finance in the UK according to new research from financial services recruitment firm Robert Half.
Early-stage merger and acquisition deals in Asia-Pacific show nearly 10% year-on-year growth in recent months.