First Irish UCITS authorised to invest via Stock Connect

The Central Bank of Ireland has approved an Irish regulated UCITS fund, a sub-fund of the Arisaig Global Emerging Markets Consumer UCITS fund, to invest directly in China-A shares via the Shanghai-Hong Kong Stock Connect programme. HSBC Institutional Trust Services (Ireland) has been appointed as the custodian bank to the fund’s operations.

In November 2014, the Shanghai Stock Exchange and the Stock Exchange of Hong Kong launched the Shanghai-Hong Kong Stock Connect programme, enabling mutual market access between China and Hong Kong. Since then, the Central Bank of Ireland has been actively reviewing the legal and operational regime supporting Stock Connect and the market infrastructure through which China-A shares are acquired and held. HSBC has worked closely with the Central Bank of Ireland in respect of the authorisation of Stock Connect for its UCITS clients.

Speaking about the approval, Ciara Houlihan, managing director of HSBC Institutional Trust Services (Ireland), said: "We understand that this is the first Irish UCITS fund to be authorised to invest via Stock Connect. HSBC has a long tradition of engagement and connectivity in Asian markets and is exceptionally well placed to enable Irish regulated funds to access this programme."

Florence Lee, head of China sales and business development, EMEA - Securities Services at HSBC, added: “This is a very welcome development for our business and we are delighted to have been able to assist our clients in accessing China-A shares via this mechanism."

Tags: UCITSHSBCShanghai-Hong Kong Stock ConnectStock Connect