Chinese Investment Banks Required to Register Info on WMP Investors


Investment banks in China are now required to file detailed information on investors in the wealth management products (WMP) that they provide.

China’s Banking Sector Wealth Management Registration and Trusteeship Center (银行业理财登记托管中心) announced on 30 September that banking-sector financial institutions shall perform registration of the WMP holdings of investors and related information starting from 1 October 2018.

According to Securities Daily this information will include assets acquired as well as information on WMP investors and WMP personnel, with a view to further strengthening protections for the rights and interests of investors.

A number of banks have already publicly disclosed the new requirements to investors via their official websites, including China Merchants Bank, which said on 8 October that “our bank shall submit information on investors in wealth management products and daily holdings to regulatory authorities starting from 1 October 2018.”

The China Banking and Insurance Regulatory Commission (CBIRC) issued the “Notice Concerning Matters in Relation into Better Performing Registration Work for Bank Wealth Management Information” (中国银行保险监督管理委员会办公厅关于进一步做好银行理财信息登记工作有关事项的通知) in April of this year, which mandated improvements to registration measures.

The new requirement arrives just as the “Commercial Bank Bank Wealth Management Operations Regulatory Administrative Measures” (商业银行理财业务监督管理办法) reduces the minimum threshold for the purchase of a single publicly offered WMP to 10,000 yuan from 50,000 yuan.