The Renminbi Qualified Foreign Institutional Investors licence was awarded by the China Securities Regulatory Commission and will allow the company to invest into the country’s equity and bond markets through its global and regional products, including its Luxembourg-domiciled UCITS range.
The company has also been allocated its first investment quota by the Chinese State Administration of Foreign Exchange.
Investec said it intends to use the licence and quota to launch two new daily dealing funds within its UCITS range, with one focusing on Chinese equity exposure and the other on onshore Chinese bonds.
“This new capability will allow Investec’s investors to allocate their capital on a global basis and to access the future growth potential of China in a product structure which offers both flexibility and liquidity,” the company said.
John Green, global head of client group, added: “These developments demonstrate our belief in, and commitment to, the positive investment opportunity in China.
“We have responded to client demand by expanding our investment opportunity set as well as our Asia presence both from a client service and investment perspective.”
A number of firms have received licences to invest into China’s markets in recent months, such as HSBC Global AM, Blackrock, Niko Asset Management, and Lion Global Investors.
The licences form part of China’s new Renminbi Qualified Domestic Institutional Investor (RQDII) scheme, which aims to internationalise the Renminbi by allowing qualified investors to channel offshore RMB into the country’s securities markets.
