July 2022
25Jul

China’s population to start to shrink before 2025: Global Times

China's population growth rate has slowed significantly and is expected to turn negative ahead of 2025, the state-backed Global Times reported, citing a senior health official. Birth data released late on Sunday showed that the number of new births in 2021 was the lowest in decades in several provinces. The number of births in the central Hunan Province fell below 500,000 for the first time in nearly 60 years, the Global Times said. Only China's southern Guangdong Province had more than...

July 25, 2022
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14Jul

Sistema privado de pensiones: la apuesta de China por dinamizar su economía

De ahora en adelante, los trabajadores dependientes chinos podrán invertir y complementar los fondos en sus cuentas de pensión, dijeron las autoridades de Beijing la semana pasada, lanzando así el primer plan privado de pensiones del país a medida que enfrentan los desafíos económicos relacionados con el envejecimiento de la población. Los empleados podrán aportar hasta US$ 1.860 por año a su fondo de pensión bajo el nuevo esquema, que se implementará con pruebas de un año en algunas ciudades...

July 14, 2022
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05Jul

China Turns to Automation and Robotics to Solve Aging Problem

The impact of an aging population has taken a toll on China’s economy. Industrial automation and robotics could be the solution. We believe that China is at the beginning of a structural shift thanks to the country’s policy support, demographic trends and technological progress. Furthermore, the ongoing trend of domestic substitution will likely provide a fertile breeding ground for local champions to be born and thrive – and our portfolio companies Shenzhen Inovance Technology Co., Ltd Class A (“Inovance”) (0.64%...

July 5, 2022
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June 2022
27Jun

China: Securities regulator proposes rules for inclusion of mutual funds in private pension scheme

The China Securities Regulatory Commission (CSRC) has said that mutual funds with at least CNY50m ($7.48m) of assets over the past four quarters are eligible to participate in the country's pilot private pension scheme. The securities regulator has proposed rules to regulate mutual funds, setting the criteria for qualified products and sales agents under a private pension scheme that will channel fresh savings into the country's capital markets, reported Reuters. The draft rules, published on 24 June, follow the launch by...

June 27, 2022
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24Jun

Financial Literacy, Gender and Investment Choices

By Xin Wen, Zhiming Cheng & Massimiliano Tani Over the past thirty years Chinese households have enjoyed substantive increases in income and savings and witnessed a rapidly developing financial market offering investment choices and risks away from bank deposits – the traditional form of financial investment. We explore whether this evolving landscape has been advantageous to every investor or mainly those with better financial literacy, by focusing on the portfolio decisions of the household head, by gender. Using data from...

June 24, 2022
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15Jun

Hong Kong Pension Pot Shrinks 11% on China Market Turmoil

It’s been a bad year for Hong Kong residents counting on Greater China for their retirement savings. The mandatory provident fund -- Hong Kong’s pension system -- has lost about 11% since the start of 2021, walloped by China’s industry crackdowns and Covid Zero policy, which overshadowed gains in US assets. That erased HK$130 billion ($17 billion) in total, or about HK$28,300 for each account at the end of May, according to researcher MPF Ratings Ltd. The retirement losses add to...

June 15, 2022
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02Jun

China: National pension insurer’s first annuity product approved

Beijing-headquartered national pension insurer, Guomin Pension & Insurance Co, has got off on a flying start with approval from CBIRC for a product named "Guomin Good Life Pension Annuity Insurance". This is the first annuity insurance of plan of the start-up company that was established only in March 2022. The product was included in the catalogue of filed life insurance products on the official website of the CBIRC in mid-May. This product, which pays benefits for the rest of the policyholder's...

June 2, 2022
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May 2022
20May

China’s private pension scheme to draw US$17.8 billion a year from savings accounts into asset management

China’s newly expanded private pension scheme will inject at least 120 billion yuan (US$17.8 billion) a year into the country’s asset-management market, according to analysts, as China Citic Bank becomes the first Chinese lender to apply for a licence to offer pension accounts in the scheme’s pilot programme. Read Also China: Big Four banks to pilot private pension scheme Under the scheme, unveiled in April, workers will be able to deposit up to 12,000 yuan per year into personal accounts that...

May 20, 2022
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17May

How to make active aging an integral part of economic growth in China

China is a rapidly graying country with those aged 60 or above reaching 267 million or 18.9% of the total population, and this may rise to one-third of the population before 2050. Welfare reform must work in tandem with social policy so as to make active aging an integral part of economic growth, linking health to wealth and common prosperity. Healthcare, labour reskilling and gender parity are three areas of focus for domestic policy to solve the challenges...

May 17, 2022
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16May

China: Big Four banks to pilot private pension scheme

China's Big Four state-owned banks will launch a pilot programme for retirement savings products in several regions soon, the CBIRC has announced. The banks are Industrial and Commercial Bank of China, Agricultural Bank of China, Bank of China and China Construction Bank. The retirement savings products, under development by the CBIRC and the People's Bank of China, are long-term investment plans with stable yields, fit for risk-averse residents, reported Xinhua News Agency citing the CBIRC. Banks to handle pension funds of up...

May 16, 2022
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