{"id":37611,"date":"2014-01-09T10:22:00","date_gmt":"2014-01-09T10:22:00","guid":{"rendered":"http:\/\/mostafa.openonline.co.uk\/?guid=76035dcb2ceb86f08394ec6f919dfb17"},"modified":"2014-01-09T10:22:00","modified_gmt":"2014-01-09T10:22:00","slug":"speech-financial-secretarys-london-stock-exchange-speech","status":"publish","type":"post","link":"https:\/\/mostafa.openonline.co.uk\/?p=37611","title":{"rendered":"Speech: Financial Secretary&#8217;s London Stock Exchange speech"},"content":{"rendered":"<div class=\"govspeak\">\n<p>Good morning.<\/p>\n<p>Back in October I visited both Hong Kong and China with the Chancellor.<\/p>\n<p>And the reason we went on that trip, was to promote the links between our asset management industries. <\/p>\n<p>So I\u2019m delighted to be here today.<\/p>\n<p>To celebrate the fact that a Hong Kong based firm.<\/p>\n<p>Has teamed up with a UK based asset manager so successfully.<\/p>\n<div class=\"call-to-action\">\n<p><a href=\"https:\/\/www.gov.uk\/government\/news\/new-fund-on-london-stock-exchange-gives-investors-access-to-chinese-stock-markets\">View the news story on this announcemnet.<\/a><\/p>\n<\/div>\n<p>I\u2019m sure that this collaboration will pave the way for future partnerships. <\/p>\n<p>I\u2019m equally pleased that Source and CSOP (SEE-SOP) have chosen to list their RQFII (R \u2013 Q \u2013 FEE) \u2013 exchange traded fund on the London Stock Exchange. <\/p>\n<p>This sends a powerful message about the progress we\u2019re making on two fronts: <\/p>\n<ul>\n<li>we\u2019re strengthening our position as an international centre for asset management<\/li>\n<li>we\u2019re strengthening our position as the Western hub for offshore <abbr title=\"Renminbi\">RMB<\/abbr> trading<\/li>\n<\/ul>\n<p>And I\u2019d like to quickly discuss those themes with you.<\/p>\n<p>The UK as the International Centre for Investment Management:<\/p>\n<p>So why is the UK succeeding as an international centre for investment management? <\/p>\n<p>We\u2019ve got a lot of factors in our favour, like:<\/p>\n<ul>\n<li>our language, our geography, our time zone <\/li>\n<li>our openness to foreign businesses<\/li>\n<li>our existing expertise<\/li>\n<\/ul>\n<p>And because of those factors, our asset managers currently look after over \u00a35 trillion of assets.<\/p>\n<p>Which represents over a third of the whole European market share.<\/p>\n<p>But we understand that asset managers and investors do have a choice. <\/p>\n<p>And CSOP didn\u2019t have to partner with a London based asset manager. <\/p>\n<p>So we\u2019re not going to sit on our success in this field.<\/p>\n<p>We\u2019re going to build on it.<\/p>\n<p>Last March we launched a Plan to boost our Asset Management sector.<\/p>\n<p>Which abolished Schedule 19.<\/p>\n<p>Established the UK\u2019s tax transparent funds.<\/p>\n<p>And introduced a one stop shop for firms looking to set up in the UK.<\/p>\n<p>And just over a month ago \u2013 at the Autumn Statement \u2013 we went even further.<\/p>\n<p>And we announced that from next April both stamp duty and stamp duty reserve tax on investors\u2019 purchases of shares in exchange traded funds that are established in the UK will be abolished. <\/p>\n<p>It also makes sense \u2013 in this building \u2013 to talk about Exchange Traded Funds, or ETFs.<\/p>\n<p>These are \u2013 as most of you will know \u2013 an increasingly popular type of investment vehicle. <\/p>\n<p>But none of the funds themselves are located here in the UK. <\/p>\n<p>So we\u2019ve changed things around, so that such funds will now receive the same tax treatment whether established in the UK or offshore. <\/p>\n<h3 id=\"the-uk-as-the-western-hub-for-rmb\">The UK as the Western Hub for <abbr title=\"Renminbi\">RMB<\/abbr><br \/>\n<\/h3>\n<p>We know that if we want to succeed in a global business environment.<\/p>\n<p>Then we have to keep looking globally.<\/p>\n<p>And one of our strengths in asset management lies in the fact that we are the Western hub for offshore <abbr title=\"Renminbi\">RMB<\/abbr> activity. <\/p>\n<p>62% of all <abbr title=\"Renminbi\">RMB<\/abbr> trading outside of China takes place here in the UK. <\/p>\n<p>And just a few weeks ago the Industrial and Commercial Bank of China issued the largest ever <abbr title=\"Renminbi\">RMB<\/abbr> bond issuance in the UK.<\/p>\n<p>But \u2013 again \u2013 we don\u2019t want to sit on that success.<\/p>\n<p>We want to build on that success. <\/p>\n<p>So when I was in China last year \u2013 talking to the Government and business \u2013 we went even further.<\/p>\n<ul>\n<li>\n<abbr title=\"Prudential Regulatory Authority\">PRA<\/abbr> agreed to consider applications from Chinese banks to open branches in the UK<\/li>\n<li>UK was awarded the first RQFII allocation outside of Greater China<\/li>\n<\/ul>\n<p>Which will allow UK based asset managers to invest directly in Chinese markets. <\/p>\n<p>In fact, I understand that this fund will use CSOP\u2019s Hong Kong RQFII quota to invest in China. <\/p>\n<p>And I hope my next big event like this will be the launch of the first UK RQFII fund to take advantage of the UK\u2019s RQFII allocation!<\/p>\n<p>I want the UK to remain the best place in the world.<\/p>\n<p>To set up a bank.<\/p>\n<p>To set up an insurance company.<\/p>\n<p>To put your assets under management.<\/p>\n<p>And to do that, we have to open ourselves up to new opportunities.<\/p>\n<p>And we have to open ourselves up to the world.<\/p>\n<p>So we\u2019re delighted that you\u2019ve chosen to list this product on the <abbr title=\"London Stock Exchange\">LSE<\/abbr>.<\/p>\n<p>We want to wish you every success with the launch of this <abbr title=\"Exchange Traded Funds\">ETF<\/abbr>.<\/p>\n<p>And we\u2019ll look forward to working with you.<\/p>\n<p>And supporting you.<\/p>\n<p>In the future.<\/p>\n<p>Thank you. <\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Financial Secretary&#8217;s speech to launch new fund on London Stock Exchange giving investors access to Chinese stock markets<\/p>\n","protected":false},"author":8,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[13],"tags":[],"_links":{"self":[{"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=\/wp\/v2\/posts\/37611"}],"collection":[{"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=37611"}],"version-history":[{"count":0,"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=\/wp\/v2\/posts\/37611\/revisions"}],"wp:attachment":[{"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=37611"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=37611"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mostafa.openonline.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=37611"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}