Day 1 - Wednesday 18th September 2019
Wednesday, September 18th, 2019
Market participation in Bond Connect has been growing steadily, with average daily volumes reaching RMB6.55 billion in June 2018, more than double the daily average volumes in the first quarter of the year. And with recent announcement of the exemption of income tax and the full implementation of delivery-versus-payment for settlement, how has bond connect contributed to the increase in the number of approved overseas institutional investors? In this panel, our expert speakers will address:
- What is required of the RMB to support the growth in international investment, including via Bond Connect?
- Bloomberg Barclays index inclusion - What will the new index inclusions mean for the Chinese bond market and will it promote greater participation and awareness and lead to further demand for more investment products?
- With multiple bond market access schemes now available, how can foreign investors navigate them?
- QFII and RQFII trading volumes are quite small - How much of this volume has gone to the Connect schemes?
- Have improvements to access schemes affected the listing arbitrage opportunities that used to exist?
- Bond Connects full Implementation of RDVP - How has this attracted more foreign investors to seek investment opportunities in China’s interbank bond market?
Diversity is really lacking in the Hong Kong ETF space and according to a survey conducted by Brown Brothers Harriman, although a majority of Hong Kong investors plan to increase their ETF investments in the next 12 months, they would like to see more ETF products across different asset classes. 65% of them want to see more global fixed income products and 63% of them want to see more currency-hedged products, as there are only two such ETFs listed in Hong Kong. In this session our panel of speakers from Vanguard, Goldman Sachs and Lombard Ordier will examine:
- What are the current challenges in estimating the depth of the ETF market amongst institutional investors?
- What are the main reasons for the lack of ETF popularity among the local investors?
- How can investors use ETF as a tool to diversify their portfolios, manage volatility and lower transaction costs?
- The advantages and disadvantages of ETFs and the liquidity in ETFs - how to manage liquidity in the fixed income environment and what are the challenges?
- Matching your bond world to ETFs - Where should ETFs lie in the trading ecosystem and how can you bring these two worlds together for more diversified trading and execution options?
- Trading efficiencies in fixed income ETFs - How can you enhance trading efficiencies in fixed income ETFs? And what have been the recent innovations in the Asian ETF market?
- Evolution of fixed income ETFs - what does the future hold for fixed income ETFs and how is the market forecasted to evolve over the next 3 years?