China’s new fund custodian rules
Journal of Investment Compliance
ISSN: 1528-5812
Article publication date: 25 November 2020
Issue publication date: 15 December 2020
Abstract
Purpose
To explain the key amendments to China’s rules governing fund custody business and highlight the implications for private fund managers.
Design/methodology/approach
The article analyses, from the perspective of private fund managers, the key amendments to the rules governing fund the custody business in China in terms of custody of fund assets, the fund settlement and clearing process, valuation, disclosure and reports, investment supervision, review of distributions and governance.
Findings
The revised rules governing the fund custody business allow private fund managers to use their global custodian in China locally and leave room for managers and custodians to agree on their responsibilities and risk allocation in the fund contract.
Originality/value
The article offers practical guidance on how private fund managers may contractually allocate responsibilities and risks between themselves and fund custodians in the fund contract.
Keywords
Acknowledgements
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Citation
Yang, M.(F). (2020), "China’s new fund custodian rules", Journal of Investment Compliance, Vol. 21 No. 2/3, pp. 171-174. https://doi.org/10.1108/JOIC-09-2020-0028
Publisher
:Emerald Publishing Limited
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