JPMorgan gets China corporate bond underwriting licence
[HONG KONG] JPMorgan Chase & Co JPM N said on Monday it had received approval and licence to underwrite corporate bonds in China's interbank bond market, making it the first US-headquartered bank to do so.
The licence enables JPMorgan to underwrite debt financing instruments issued by non-financial entities, including commercial papers, medium-term notes and other instruments approved by regulators, it said.
The licence was granted by the National Association of Financial Market Institutional Investors (NAFMII), which oversees the Chinese interbank bond market, said a statement issued by JPMorgan.
China is the third largest bond market in the world with 43.7 trillion yuan (US$6.37 trillion) outstanding at the end of 2016 with the interbank bond market accounting for over 90 per cent, according to China Central Depository & Clearing Co.
In September last year, JPMorgan was granted a business licence to operate a fully owned fund management business in China, allowing it to set up an office in Shanghai free-trade zone.
REUTERS
BT is now on Telegram!
For daily updates on weekdays and specially selected content for the weekend. Subscribe to t.me/BizTimes
Banking & Finance
Latest Singapore 6-month T-bill offering cut-off yield of 3.74% as applications dip
Morgan Stanley Asia private equity unit to reorganise as CEO retires
US seeks 36 months’ jail for Binance founder Zhao
Keppel’s Q1 revenue down 6.3% to S$1.5 billion; legacy O&M assets a drag on net profit
JPMorgan talking with investors about two synthetic risk transfers
HSBC says growing Chinese wealth fuels client investments in US