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CSRC Issues New Rules to Promote QFII Program

September 10, 2012

BY DAVID LIVDAHL, CHUNBIN XU, & JENNY SHENG

Under PRC law, a foreign investor must obtain a special license to become a qualified foreign institutional investor (“QFII”) to invest in China’s securities markets. By relaxing the restrictions and thresholds imposed on QFIIs in the Old QFII Measures, the New QFII Provisions aim to attract more foreign investment funds to China’s securities market. This alert summarizes the major changes in the New QFII Provisions.

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