On Thursday October 28, 2021, CHINALUX, in cooperation with the Luxembourg Trade and Investment Office in Shanghai, held a hybrid event on the topic of “China Inbound: Developments for European Retail Investors”, with support from members Banque Internationale à Luxembourg (BIL), Hauck & Aufhäuser Privatbankiers AG and ICBC Europe S.A. & ICBC Luxembourg Branch.
Speakers and guests in Shanghai were hosted at the Consulate General of Luxembourg in Shanghai, the Europe-based speakers at the CHINALUX office in Luxembourg, and members and friends joined from all over the globe to listen to the speeches given from Shanghai and Luxembourg, which were broadcast online.
The event began with words of welcome from Ms. Zhujun XIE, CHINALUX President, after which the presentations in Shanghai commenced. First, Mr. Vincent Hieff, Executive Director of the Luxembourg Trade and Investment Office in Shanghai, and Consul General of Luxembourg in Shanghai, gave an introduction to investments in China. Next, Mr. Xu Jing, Deputy Director of the Shanghai Lujiazui Financial City Authority, Department for Finance, Shipping and Innovation, presented the Shanghai Lujiazui Financial City and outlined opportunities for foreign investment.
Coming back to the team in Luxembourg, the topic of Luxembourg products for European retail investors was addressed. The first speaker, Mr. Yang Kaiyu, Deputy General Manager, ICBC (Europe) S.A. emphasised why “Luxembourg is the place”, most notably as the global leader in UCITS funds, highlighting the breadth and size of Luxembourg’s fund industry. He noted key details regarding Luxembourg UCITS, providing practical information regarding authorisation and supervision, service providers, associated costs, as well as specifically how to participate. There was much interest, in particular, when he demonstrated that the growing number of fund initiators coming from China has grown significantly in the past few years.
The next speaker, Mr. Jeffrey Dentzer, Chief of Luxembourg Market & CIB, BIL S.A. covered the important subject of bringing Chinese assets to European retail investors, highlighting that BIL has made its development in China an important part of its global strategic plan for the next 5 years. The bank is uniquely placed, thanks to its main shareholder, Legend Holdings, and sister companies, affording strong levers to offer Chinese assets to European retail investors. BIL aims to reinforce its value proposition, drive future growth, generate additional revenues and diversify away from concentration risks in Luxembourg via the development of the Chinese market, and as such offer unique opportunities for European retail investors in China.
Following, Dr. Helen Liang, Executive Board Member, Head of China Desk, Hauck & Aufhäuser Privatbankiers AG, focused on the important question of, “Why invest into the Chinese stock market?”. She highlighted a number of investment opportunities in China from now to 2035, noting that by such time China’s GDP per capita will reach the level of moderately developed countries, approximately USD 20K with 5% growth p/a, and during which time further support will be provided to consumption promotion, infrastructure replenishment, and strategic innovative industrial development. Next, she outlined pathways to invest into China, including offshore and onshore schemes for investment into the Chinese stock market, then highlighted the important role of UCITS funds of combining the European legal framework with targeted long-term returns.
To finish, Mr. Jacques Bortuzzo, Vice President, CHINALUX, led the three speakers in Luxembourg through a panel discussion, taking questions from the guests in Shanghai and those joining online.
In case of any inquiries or follow-up from this event, please don’t hesitate to contact the CHINALUX team at firstname.lastname@example.org.
FOSTERING THE RELATIONSHIP BETWEEN CHINA AND LUXEMBOURG
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