Cross-boundary Wealth Management Connect 2.0 is really hot. "Cross-boundary Wealth Management Connect" refers to the cross-border investment of individuals in the Guangdong-Hong Kong-Macao Greater Bay Area by individuals in the Guangdong-Hong Kong-Macao Greater Bay Area in wealth management products sold by banks in the Guangdong-Hong Kong-Macao Greater Bay Area, which can be divided into "Southbound Scheme" and "Northbound Scheme" according to the identity of the purchaser.
On April 23, the Guangdong Branch of the People's Bank of China released its first report card after the launch of Cross-boundary Wealth Management Connect 2.0.
Overall, in March, 24,000 new individual investors participated in the Cross-boundary Wealth Management Connect in the Guangdong-Hong Kong-Macao Greater Bay Area, an increase of 9.16 times month-on-month, setting a new high in the number of new account openings in a single month. Among them, the number of mainland visitors surged by 23,000, an increase of nearly 12 times month-on-month.
Mainland investors up 1,200% in first month
On 26 February, the new version of the Cross-boundary Wealth Management Connect was officially implemented. Compared with the previous version 1.0, the new version of the Cross-boundary Wealth Management Connect not only lowers the access requirements for investors and increases the quota for individual investors, but also broadens the scope of business pilots to better meet the diversified investment needs of residents in the Greater Bay Area.
Pilot banks are actively launching competitive products, with up to 10% of short-term USD fixed deposit products abounding. It is said that many banks have made appointments to open accounts in July or even August.
According to the latest data from the Guangdong branch of the People's Bank of China, the number of individual investors in the "Wealth Management Connect" increased by 24,288 in March, a sharp increase of 9.16 times month-on-month, and 20,574 cross-border fund transfers involving an amount of 13.106 billion yuan, an increase of 5.09 times and 7.84 times respectively month-on-month.
Among them, 23,237 new individual investors participated in the Southbound Scheme in March, an increase of 11.78 times month-on-month, accounting for 96% of the total number of new investors. The cross-border remittance of funds involved was 13.088 billion yuan, soaring nearly 7.95 times month-on-month, a new high in the same period.
As of the end of March 2024, 97,700 individual investors in the Guangdong-Hong Kong-Macao Greater Bay Area have participated in the Cross-boundary Wealth Management Connect, including 47,400 investors from Hong Kong and Macao, and 50,300 investors from the Mainland, involving 69,800 cross-border remittances and transfers of related funds, amounting to RMB28.389 billion.
98% of the business is depository
According to the data, as of the end of March 2024, the market value of investment products purchased by individual investors participating in the "Cross-boundary Wealth Management Connect" was 16.441 billion yuan. Under the Northbound Scheme, the market value of investment products held by Hong Kong and Macao individual investors was RMB201 million, including RMB122 million of wealth management products and RMB79 million of fund products, while under the Southbound Scheme, the market value of Hong Kong and Macao investment products held by mainland individual investors was RMB16.24 billion, including RMB224 million of investment funds, RMB25 million of bonds and RMB15.991 billion of deposits.
In other words, 98% of the products invested by mainland investors are deposits.
It is worth noting that among the nine mainland cities in the Greater Bay Area, Shenzhen, Guangzhou, Zhuhai and Foshan accounted for 83.84% of the cross-boundary wealth management connect.
As of 22 April, the Southbound Scheme had a net outflow of RMB31.27 billion, accounting for 20.85% of the total quota, and a net inflow of over RMB241 million, accounting for 0.16% of the total quota, under the Northbound Scheme.
Source: China Fund News Editor: Hu Yiyi Editor: Lai Ting Review: Lu Hongmei
Suddenly announced: June 30 offline, closed services, gold prices fell again! Daxing urgently reminded → gold prices have fallen again! Daxing urgently reminded → watering in rainstorms to raise questions, and the official response to advertising business cooperation: 18691889892