China Banking and Insurance Regulatory Commission, Circular on Matters Relevant to the Creation of Dedicated Products by Insurance Asset Management Companies

中国银行保险监督管理委员会关于保险资产管理公司设立专项产品有关事项的通知

November 21, 2018 | BY

Susan Mok

Insurance capital may be invested to alleviate liquidity risks of listed companies

Clp Reference: 3910/18.10.24 Promulgated: 2018-10-24

Issued: October 24, 2018

Main contents: Insurance companies are allowed to create dedicated products mainly to alleviate the liquidity risks arising from the pledge of the stock of quality listed companies. The investment targets include:

(1)        stock of listed companies;

(2)        bonds publicly offered by listed companies and their shareholders; and

(3)        exchangeable bonds privately offered by the shareholders of listed companies (Article 2).

The main investors of dedicated products shall be insurance institutions, social insurance funds and other such institutional investors as well as asset management products of financial institutions (Article 3).

clp reference: 3910/18.10.24 issued: 2018-10-24

This premium content is reserved for
China Law & Practice Subscribers.

  • A database of over 3,000 essential documents including key PRC legislation translated into English
  • A choice of newsletters to alert you to changes affecting your business including sector specific updates
  • Premium access to the mobile optimized site for timely analysis that guides you through China's ever-changing business environment
For enterprise-wide or corporate enquiries, please contact our experienced Sales Professionals at +44 (0)203 868 7546 or [email protected]