THE national securities regulator has released a list of the first batch of funds it has accepted under the mutual fund recognition program, which allows funds to be sold across the Chinese mainland and Hong Kong as part of the Central Government’s market liberalization drive.

    Applications from nine funds from Hong Kong-based asset management firms were under review by the China Securities Regulatory Commission (CSRC), according to a filing on the CSRC website.

    The asset managers include Amundi Hong Kong, Hang Seng Investment, BOCI-Prudential, Bank of China Hong Kong, JP Morgan Asset Management, Zeal Asset Management and Schroders.

    The investment targets of these funds are fairly diversified, with some targeting equities on the mainland, in Hong Kong or global markets, and others focusing on multi-income assets or bonds.

    Regulators on the mainland and in Hong Kong announced the long-awaited mutual recognition program May 22, marking another step in liberalizing China’s capital account following the November launch of the “Stock Connect” trading link.

    About 100 Hong Kong-domiciled funds and 850 mainland funds are qualified for the program, according to the CSRC.

    (SD-Agencies)