QDII quotas reach $42bn

The total investment quota allowed under China's Qualified Domestic Institutional Investor (QDII) scheme reached US$42.2 billion at the end of September, said Li Dongrong, vice director of the State Administration of Foreign Exchange, at a seminar on the program in Shanghai, Beijing Business Today reported (in Chinese). Qualified investors had made US$10.86 billion in overseas purchases by the end of the third quarter. The QDII program offers new channels of investment for mainland residents, who are not allowed to directly invest in overseas markets but may do so through funds. So far, 21 commercial banks, five fund management firms and 14 insurance companies have qualified for investment quotas, said Li.