First R-QFII Manager Based Outside Greater China To Obtain CSSF Approval For A R-QFII UCITS-Compliant Product

Arendt & Medernach's teams in Luxembourg, London and Hong Kong have advised Ashmore Investment Management Limited ("Ashmore") throughout the process leading up to the approval by the Luxembourg regulator (the "CSSF") of the first Luxembourg R-QFII UCITS managed by a R-QFII manager based outside Greater China. Earlier this year, Ashmore became the first manager based outside Greater China to be granted a R-QFII license by the authorities of the People's Republic of China ("PRC"). In addition, Ashmore's Luxembourg R-QFII UCITS has been authorised by the CSSF to invest, subject to final approval by the PRC authorities, directly up to 100% of its net assets in debt instruments traded on the China Interbank Bonds Market (the "CIBM"), which is unprecedented.

This is an important milestone for the Luxembourg financial centre. Indeed, it confirms the possibility for managers based in R-QFII centres other than Hong Kong, such as London, Singapore or Paris, to use their R-QFII licence and quotas with...