The material on this site is for financial institutions, professional investors and their professional advisers. It is for information only. Please read our Terms & Conditions, Privacy Policy and Cookies before using this site. Please see our Subscription Terms and Conditions.


All material subject to strictly enforced copyright laws. © 2021 Euromoney, a part of the Euromoney Institutional Investor PLC.
Capital Markets

China: The key to QDLP

China’s qualified domestic limited partnership scheme, which lets foreign asset managers raise money onshore in renminbi to invest offshore, is taking shape – but it is complex. Euromoney has some tips designed to stop you wasting time and money.

Renminbi-yuan-symbol-iStock-960x535.jpg
Photo: iStock

It has taken its sweet time, but China’s qualified domestic limited partnership (QDLP) programme is finally taking shape.

On September 8, Pictet Asset Management got approval from the Asset Management Association of China (AMAC) to launch its first QDLP programme in Shanghai.

However, what is QDLP and is the rollout of a single fund – in this case the Pictet Special Situation Private Securities Fund No.1, managed via a local subsidiary by Pictet Group, an independent Geneva asset manager that oversees $274 billion for global clients – really a big deal?

Potted history

The answer to the second question is yes, but let’s start with a potted history of the scheme. QDLP was first launched in Shanghai in 2013, and in Shenzhen a year later. It spread to nine cities and regions, including Chongqing and Qingdao.

QDLP looked good on paper: stripped down to its bones, the quota-based system lets foreign and domestic asset managers raise money in renminbi from high-net-worth and institutional mainland investors. That capital is, in turn, invested overseas in foreign-owned assets and securities, via a Chinese feeder product.


You have reached premium content. Please log in to continue reading.

Read beyond the headlines with Euromoney

For over 50 years, our readers have looked to Euromoney to stay informed about the issues that matter in the international banking and financial markets. Find out more about our different levels of access below.

SUBSCRIBE ONLINE TODAY

Unlimited access to Euromoney.com and Asiamoney.com

Expert comment, long reads and in-depth analysis interviews with senior finance professionals

Access the results of our market-leading annual surveys across core financial services

Access the results of our annual awards, including the world-renowned Awards for Excellence

Your print copy of Euromoney magazine delivered monthly

£73.75 per month

Billed Annually

FREE 7 DAY TRIAL

Unlimited access to Euromoney.com and Asiamoney.com, including our top stories, long reads, expert analysis, and the results of our annual surveys and awards

Sign up to any of our newsletters, curated by our editors

LOGIN NOW

Already a user?

We use cookies to provide a personalized site experience.
By continuing to use & browse the site you agree to our Privacy Policy.
I agree