China Central Bank To Examine Online Asset Managers
People's Bank of China announced it’s launching an examination into online asset managers, that will last for 2 straight months from April to the end of June. This was seen as a pretty bold measure to reduce financial risk in the asset management industry, worth up to 15 trillion dollars. The PBOC’s document suggested online asset management businesses without a proper license could diminish existing businesses by the end of June. So, from now on, Chinese officials will conduct checks in order to curb financial risk and grant social stability.
In the near term, China’s Central Bank will publish the final version of new rules for asset management businesses as part of extending crackdown on financial risk. President Xi Jinping already approved the regulations.