Swiss Re becomes pioneer investor in Swiss RQFII programme with China
22 June 2015, Zurich
Swiss Re has been confirmed as the first Swiss company to be granted a Renminbi Qualified Foreign Institutional Investor (RQFII) license.
With this licence in place Swiss Reinsurance Company Ltd. can proceed and apply for a quota to invest in the Chinese domestic securities markets, predominately into the fixed income market. Currently China's bond market is one of the world's largest, accessible only to foreign investors through specifically defined programmes.
Swiss Re's Group Chief Investment Officer, Guido Fürer, says: "Gaining access to the Chinese financial markets – as they grow in significance – has become vital for global long-term investors. The RQFII programme will further complement Swiss Re's liability matching investment capabilities. This is an important step in Swiss Re's business aspirations under our High Growth Market strategy."
The grant of the license follows an agreement reached in January between Switzerland and China to establish a quota of RMB 50 billion that Switzerland-based financial institutions can use to invest in China‘s domestic capital markets. The Swiss National Bank described the agreement at the time as a sign for fresh progress in the bilateral financial cooperation between China and Switzerland.
The Swiss Re Group is a leading wholesale provider of reinsurance, insurance and other insurance-based forms of risk transfer. Dealing direct and working through brokers, its global client base consists of insurance companies, mid-to-large-sized corporations and public sector clients. From standard products to tailor-made coverage across all lines of business, Swiss Re deploys its capital strength, expertise and innovation power to enable the risk-taking upon which enterprise and progress in society depend. Founded in Zurich, Switzerland, in 1863, Swiss Re serves clients through a network of about 70 offices globally and is rated "AA-" by Standard & Poor's, "Aa3" by Moody's and "A+" by A.M. Best. Registered shares in the Swiss Re Group holding company, Swiss Re Ltd, are listed in accordance with the Main Standard on the SIX Swiss Exchange and trade under the symbol SREN. For more information about Swiss Re Group, please visit: www.swissre.com or follow us on Twitter @SwissRe.
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