Northeast Asia

China Merchants Securities’ head of equity syndicate in Hong Kong has taken up a new job in the capital markets team at Fidelity International.

Shanghai and Hong Kong’s stock exchanges say markets were in good form as the MSCI included A-shares in its benchmark, regulators approve new quotas for outbound and inbound investment schemes, and Aberdeen Standard Investments launches Luxembourg-based fund to tap onshore bonds.

Hong Kong Broadband Network has closed an amendment and extension of a HK$4.1bn ($528.5m) loan sealed two years ago, slicing the margin by 30bp.

The central bank chief says competition from international institutions is key to improving the Chinese financial sector, the securities watchdog says the first China Depository Receipts (CDRs) will launch soon, and the Ministry of Commerce tells the US to hold back from taxing $50bn of Chinese goods.

Investors flocked to Korea Western Power Co’s (Kowepo) $300m bond issuance on Thursday, finding a safe haven in the government supported credit.

Bank of China offered something exciting to the debt market on Thursday by selling green bonds as well as the first sustainability note from a Chinese issuer.

The gravity in the relationship between Hong Kong and China’s financial markets has unquestionably shifted north in the past two decades. But instead of fearing competition, Hong Kong should embrace this change and build on its leading role in offshore RMB business, senior financial regulatory officials told a forum at the Hong Kong Stock Exchange on Friday.

Midea Real Estate Holding filed for an IPO in Hong Kong on Thursday that could raise upwards of $1bn, according to a banker on the deal.

The Swiss franc bond market showed this week that it is well insulated from the turmoil affecting the euro market as South Korea’s Hyundai Capital raised Sfr300m from a tightly priced five year bond. With cross-currency basis swaps coming down, and low new issue premiums, Zurich-based bankers are keen to showcase the pricing competitiveness as well as the stability of their market.

A topsy-turvy market backdrop is pushing a slew of Chinese borrowers, mainly property companies, to raise funds by tapping their existing dollar bonds. Buy side interest remains, but only for the right names, writes Addison Gong.

Jitters over Italy’s political turmoil receded slightly on Thursday, giving Asia’s stock and bond markets a bit of respite, even as talk of a trade war between China and the US reappeared.

Huifu Payment launched a HK$1.9bn ($244.1m) IPO in Hong Kong on Thursday, using Silicon Valley stalwarts Square and PayPal as benchmarks for valuations.