This is a sponsored article from CICC.

CICC Hong Kong Securities and CICC Wealth Management, two subsidiaries of China International Capital Corporation (CICC), were both included in the first batch of brokers to participate in the Guangdong-Hong Kong-Macau Greater Bay Area Cross-Boundary Wealth Management Connect pilot scheme. The northbound scheme was officially launched on December 4th, 2024, with CICC Hong Kong Securities successfully executing the programme’s first transaction.

The first client to open a Northbound Service investment account under the scheme with CICC Hong Kong Securities was a certain Mr. Liu, a newlywed professional in the energy sector (identified here only by his surname to protect client confidentiality). He expressed his enthusiasm for the initiative. “I have prior experience investing in Hong Kong and US stocks, and I’ve always been intrigued by the Chinese mainland market but lacked an accessible entry point until now,” he said.

As a permanent resident of Hong Kong, Liu had long been keen to participate in the mainland’s capital markets. Following the new scheme’s launch, he immediately chose a trusted institution with which to open an investment account. “This initiative is a game-changer for Hong Kong residents. It greatly simplifies access to mainland investments,” he remarked.

Liu also voiced strong confidence in securities firms’ capabilities to deliver cross-boundary WMC services. “I have always trusted securities firms for investment services. Their participation in Cross-Boundary WMC 2.0 adds another layer of credibility to it. I’m excited to take advantage of their exceptional research capabilities and extensive product offerings for cross-border investments,” he added.

Liu similarly endorsed CICC’s Cross-boundary WMC offering as a model for high-quality synergy between the Chinese mainland and global markets. “I am familiar with CICC’s wealth management service and their integrated approach to domestic and overseas operations inspires strong confidence in their cross-border expertise,” he said. “Throughout the process of setting up my northbound service account, the investment advisors demonstrated exceptional professionalism and provided insightful recommendations. The collaboration between their domestic and international teams was remarkably seamless, making the entire experience highly efficient and enjoyable.”

This milestone comes on the heels of a landmark development in December 2023, when six regulatory bodies – including the Guangdong branch of the People’s Bank of China and the China Securities Regulatory Commission’s Guangdong office – jointly issued the scheme’s implementation arrangements for the Greater Bay Area. This marked the programme’s evolution into its 2.0 phase following WMC’s first-phase launch in September 2021 and, for the first time, extended its scope to include securities firms.

For securities firms, this expansion represents a transformative opportunity. CICC was among the first to seize the moment, strategically positioning itself to lead the way. Under its cross-border WMC offerings, CICC supports both the northbound and southbound schemes. The former allows clients to access publicly offered securities investment funds (excluding commodity futures funds) rated “R1” to “R4” by public fund managers and sales institutions in the Chinese mainland.

According to its press release, CICC Wealth Management follows a meticulous product management process: “We evaluate fund managers based on a combination of their assets under management, risk management capabilities, research resources, and historical performance. We have made over 6,000 eligible products available for northbound investors. These include equity funds, hybrid funds, money market funds, and bond funds, along with selected Mutual Fund Top 50 funds.”

CICC Hong Kong Securities’s southbound offering also features a carefully curated portfolio of investment options. These include both equity and bond funds registered in Hong Kong that are approved by the Securities and Futures Commission, rated by participating institutions as “low” to “medium-high” risk, and categorized as “non-complex”.

Currently, CICC Hong Kong Securities offers reach to 190 fund products as part of its southbound service. Key investment strategies span Greater China equity funds, Asian equity funds, global investment grade bond funds, Asian investment grade bond funds, short-duration bond funds and money market funds. Additionally, it offers several hundred eligible bond products, including global sovereign bonds and investment grade corporate bonds.

CICC Wealth Management and CICC Hong Kong Securities are poised to seize the opportunities presented by the Cross-boundary WMC pilot programme. Both entities plan to accelerate their strategic deployment to cater to the evolving cross-boundary investment needs of clients in different regions. By delivering professional, tailored and diversified investment solutions for both northbound and southbound investors, CICC is committed to enhancing the quality and efficiency of its wealth management services.

About Us

CICC Wealth Management: China CICC Wealth Management Securities Company Limited is a wholly owned subsidiary of China International Capital Corporation Limited (CICC, 601995.SH, 3908.HK), serving as the wealth management flagship of CICC. Adhering to a client-centric concept and adopting a buyer’s perspective, we are committed to delivering investment solutions aligned with clients’ life objectives by leveraging our internationally acclaimed product offerings, a proficient team of investment advisors and an agile and pioneering financial technology platform. Our vision is to be recognised as a trusted, preeminent global wealth management institution and to deliver services that create exceptional personal and social value beyond wealth.

CICC Hong Kong Securities: China International Capital Corporation Hong Kong Securities Limited (SFC License No. AEN894, authorised to engage in Type 1, 2, 4, 5 and 6 regulated activities), operates as a wholly-owned licensed subsidiary of China International Capital Corporation (International) Limited (CICC International). As the global arm of CICC’s wealth management business, CICC International’s wealth management team delivers global market services through CICC Hong Kong Securities. With a robust and steadily expanding offshore one-stop investment service platform, a world-class team of seasoned investment advisors and a cutting-edge financial technology ecosystem, CICC Hong Kong Securities offers tailored global solutions to individual, family and corporate clients. We are dedicated to helping clients effectively preserve and grow their overseas assets.

This is a sponsored article from CICC.