Deutsche Asset & Wealth Management Investment is the first German entity to be granted an RQFII licence under the German RQFII scheme by the China Securities Regulatory Commission (CSRC), allowing it to invest directly in China's domestic securities markets.

HSBC is providing local custodian services to Deutsche Asset & Wealth Management Investment, which has secured regulatory approval to become the first German investor in China under the RQFII scheme, a programme designed to open up the nation’s onshore securities markets to overseas investors using renminbi (RMB).

“This milestone underlines Germany’s interest in developing its RMB business. Since the inception of the RQFII scheme in 2011, HSBC has been working closely with financial institutions around the world to help them access the Chinese market. We offer clients easy access to our team of experts in China who have been closely involved in the evolution of the regime.”  said Cian Burke, global head of securities services, HSBC. 

This development reflects China’s ongoing commitment to opening up its capital markets to global investors as well as HSBC’s enduring leadership in helping its clients benefit from the internationalisation of the RMB.

“We expect liberalisation of the Qualified Foreign Institutional Investor (QFII) and RQFII schemes will speed up as RMB internationalisation gathers ever greater momentum. We anticipate the RQFII scheme will reach new pilot sites and that regulations surrounding the scheme will be further relaxed. As a leading QFII and RQFII custodian bank, HSBC will continue to partner with foreign institutional investors in search of new investment opportunities in China’s capital markets," said Andy Ng, head of securities services for China at HSBC.