China plans sweeping new rules to rein in asset management risks

BEIJING: China’s financial regulators are working together to draft sweeping new rules for the country’s rapidly-expanding asset-management products that aim to make it clear there’s no government guarantees on such investments, according to people familiar with the matter.

The draft rules would apply to products issued by banks, insurers, brokerages and other financial institutions, said the people, who asked not to be identified because the discussions are private. The rules would be phased in after existing products mature, and would only apply to new issues, they added.