LONDON (Reuters) - Europe’s first exchange-traded fund (ETF) denominated in yuan and based on the domestic Chinese share market launched on Friday, Bank of China’s international division said in a statement.
The ETF is sponsored by BOC International and started trading on Friday on the China Europe International Exchange, a Frankfurt-based joint venture between Deutsche Boerse and two Chinese exchanges, BOCI said in the statement.
“It boosts the opening up of China’s capital market and renminbi (yuan) internationalization, opening a new chapter in our overseas business development,” Li Tong, chief executive officer of BOCI, said.
Beijing is trying to improve international perceptions of its financial openness in the run-up to a meeting of the International Monetary Fund to decide whether to include the yuan in its basket of reserve currencies, which would provide a boost to the currency’s global status.
Reporting by Carolyn Cohn; editing by Jason Neely