免费手机资讯客户端下载
       

Bank Financing Steps up Investment in Derivatives

  • 字号
2014-08-05 12:09:55 来源:大连商品交易所网站 

  Most participate as priority parties with expected returns at 7% - 9%.

  With the advent of the era of comprehensive asset management, the banks with the prominent advantages on the traditional financing market have set their sights on the field of derivatives and quantitative hedge. With the involvement in the field yet to be deepened, the banks are trying to join hands with futures companies, private funds and other asset management institutions to issue products, most of which are structured ones.

  Then, at what levels do the bank funds expect the annual yields to be at? According to the sources of various banks, usually participating as the priority parties, the bank funds generally expect the annual yield rates at between 7% and 9% with the funds of state-owned banks anticipating relatively low returns and the funds of joint-stock commercial banks expecting comparatively high earnings as a result of their preference for higher risks.

  It is learnt that not only have many banks joined hands with futures companies, brokerage firms, private equity and other agencies to issue structured products but some joint-stock commercial banks such as China Merchants Bank have started to engage in the field of active-management products.

  "Currently, we have established cooperative relations with ICBC, China Merchants Bank, Industrial Bank and Shanghai Pudong Development Bank, with the structured products as the main jointly issued products,” said Lin Xi at Xinhu Futures, adding that recently, the funds of the banks have expected the annual yield rate at 7.3% - 7.5%.

  Lin further explained that with no fixed level, the annual yields expected by the bank funds vary with the changing fund costs on the market.

  "Last year when the money was tight on the market, the bank funding cost rate reached 9%, and although it has been reduced now, it is learnt that the cost rate of the priority bank funds is not less than 6%," said Li Xin, a researcher with Howbuy Funds.

  Because of this, Yan Boqing, deputy general manager of the asset management department of Orient Futures, provided a range: the cost rate for the overall bank funds package (including channel and trustee fees) is between 7.5% - 9%.

  "Now the expected yield rates for our one-year products (including all expenses at bank end and excluding channel fees) are between 7.8% - 8%," said a clerk at a state-owned bank, adding that with relatively high requirements for risk control for financial products, the state-owned banks’ expectancy for returns on funds is not very high.

  Although the bank funds expect annual yield rates between 7% - 9%, with different natures, sizes and requirements for risk control, the state-owned banks and joint-stock commercial banks show some difference in the expected revenues for the funds.

  "It depends on whether the banks have the intents to invest in the field of derivatives, and if you really want to invest, then you will certainly be more market-oriented," said Yan.

  "The expected annual yield rates of the funds of China Merchants Bank are about 0.5 percentage point higher than the ICBC’s," said a futures company official, adding that as a state-owned bank, the ICBC tends to cooperate with the products with low risks and stable earnings, while China Merchants Bank is more flexible in selecting the product strategies by attaching great importance to the profitability of the products, hence higher expected annual yields.

  The official also revealed that currently the expected annual yield rates of the funds of China Merchants Bank are about 8.4%, “The China Merchants Bank has more clients with high net value and larger raised funds, so their products sell well relatively.”

  

【免责声明】本文仅代表作者本人观点,与本网站无关。本网站对文中陈述、观点判断保持中立,不对所包含内容的准确性、可靠性或完整性提供任何明示或暗示的保证。请读者仅作参考,并请自行承担全部责任。

(责任编辑:HF044)

相关新闻

更多专家观点>>

暂无专家推荐本文
全部观点(

0

)
专家观点(

0

)
网友观点(

0

)
  • 暂无观点
您推荐的 标题 将自动提交到和讯看点, 请输入您的观点并提交。

期货精品推荐

推广
热点

  【免责声明】本文仅代表作者本人观点,与和讯网无关。和讯网站对文中陈述、观点判断保持中立,不对所包含内容的准确性、可靠性或完整性提供任何明示或暗示的保证。请读者仅作参考,并请自行承担全部责任。