London Stock Exchange Group plc · LSE:LSEG

London Stock Exchange — BOCHK Asset Management — Investor Presentation (November 2013)

18 slides from London Stock Exchange's investor presentation, November 2013

  1. Slide 1: An Overview of Offshore RMB Market

    An Overview of Offshore RMB Market Nov 2013

  2. Slide 2: Contents

    This document is for the seminar only and not for further distribution, display, extract or reprint. Investment involves risks.. Contents 1. Outlook of RMB Internationalisation 2. Implications for Offshore RMB Bonds 2

  3. Slide 3: Outlook of RMB Internationalisation

    This document is for the seminar only and not for further distribution, display, extract or reprint. Investment involves risks.. Section 1 Outlook of RMB Internationalisation 3

  4. Slide 4: RMB – The next international currency

    This document is for the seminar only and not for further distribution, display, extract or reprint. Investment involves risks.. RMB – The next international currency China continues to accelerate regulatory reforms towards RMB internationalisation  Second-largest global economy  Largest exporter

  5. Slide 5: RMB Cross-border Trade Settlement

    This document is for the seminar only and not for further distribution, display, extract or reprint. Investment involves risks.. RMB Cross-border Trade Settlement Cross-border RMB trade settlement business has developed rapidly with more balanced two-way trade flow  The volume of cross-border RMB t

  6. Slide 6: Strengthening RMB usage outside Asia-pacific

    This document is for the seminar only and not for further distribution, display, extract or reprint. Investment involves risks.. Strengthening RMB usage outside Asia-pacific Western developed countries are increasingly involved in RMB businesses. New offshore RMB centers will emerge, and each will h

  7. Slide 7: RMB as a potential reserve currency – for trade settlement

    This document is for the seminar only and not for further distribution, display, extract or reprint. Investment involves risks.. RMB as a potential reserve currency – for trade settlement Growing bilateral currency swap lines are to promote the use of RMB in global trade and finance, also a step tow

  8. Slide 8: RMB as a potential reserve currency – for investment

    This document is for the seminar only and not for further distribution, display, extract or reprint. Investment involves risks.. RMB as a potential reserve currency – for investment Central banks are diversifying holdings into RMB, already helping RMB gain reserve-like attributes. Over the long run,

  9. Slide 9: Implications for Offshore RMB Bonds

    This document is for the seminar only and not for further distribution, display, extract or reprint. Investment involves risks.. Section 2 Implications for Offshore RMB Bonds 9

  10. Slide 10: Offshore RMB Bonds: Rising Supply & Demand

    This document is for the seminar only and not for further distribution, display, extract or reprint. Investment involves risks.. Offshore RMB Bonds Rising Supply & Demand Aug 2009 – Oct 2013 1400 1200 RMB billion 1000 Offshore RMB Deposit 800 in Hong Kong 600 Commercial 400 Bank* 200 Bonds Corporate

  11. Slide 11: Offshore RMB Bonds: A Growing Asset Class

    This document is for the seminar only and not for further distribution, display, extract or reprint. Investment involves risks.. Offshore RMB Bonds A Growing Asset Class 1400 Market Capitalisation in RMB Number of Outstanding Issues 1172 1200 1107 1000 RMB in billions 821 800 749 600 542 565 433 405

  12. Slide 12: RMB Offshore Deposits Globally

    This document is for the seminar only and not for further distribution, display, extract or reprint. Investment involves risks.. RMB Offshore Deposits Globally Luxembourg Taiwan London RMB Deposit: 40 Billion RMB Deposit: RMB Deposit: (USD 6.56 Billion) ~100 Billion 35 Billion Aug 2013 (USD 16.39 Bi

  13. Slide 13: Onshore RMB vs Other Currencies

    This document is for the seminar only and not for further distribution, display, extract or reprint. Investment involves risks.. Onshore RMB vs Other Currencies Risk and Return vs USD from 1 Nov 2010 to 31 Oct 2013 12 RMB 10 8 Latam EM Currencies Return vs USD 6 4 Asia EM Currencies 2 Global EM Curr

  14. Slide 14: RMB (CNY)'s Resilience in the Last Two Financial Crises

    This document is for the seminar only and not for further distribution, display, extract or reprint. Investment involves risks.. RMB (CNY)’s Resilience in the Last Two Financial Crises Asian Maximum depreciation against USD Financial Crisis RMB RMB: 0% 100 Jan 1997 JPY: 21% down to 80 ADXY *: 27% do

  15. Slide 15: Market Comparison: CNH Bonds vs Other Bonds

    This document is for the seminar only and not for further distribution, display, extract or reprint. Investment involves risks.. Market Comparison: CNH Bonds vs Other Bonds 31 Dec 2010 to 31 Oct 2013 (USD terms) 130 125 120 FTSE - BOCHK 115 Offshore RMB Bond Index – 110 much lower volatility 105 100

  16. Slide 16: Conclusions

    This document is for the seminar only and not for further distribution, display, extract or reprint. Investment involves risks.. Conclusions Investment opportunities Offshore RMB bonds:  Yield pick-up in both nominal and real terms  Diversification-low correlation with other major bond markets  C

  17. Slide 17: Notes and Disclaimers

    This document is for the seminar only and not for further distribution, display, extract or reprint. Investment involves risks.. Notes and Disclaimers  Information herein may be obtained from sources believed to be reliable, but BOCHK Asset Management Limited does not guarantee the accuracy of the

  18. Slide 18: Thank you

    This document is for the seminar only and not for further distribution, display, extract or reprint. Investment involves risks.. Thank you 18

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