London's first Chinese money market ETF to be traded on LSE

London Stock Exchange (LSE) Wednesday announced that it welcomed the first London listed Renminbi (RMB) dominated money market Exchange Traded Fund (ETF) -- "Commerzbank CCBI RQFII Money Market UCITS ETF" to be traded on the bourse.

The new ETF is the first to offer both institutional and retail investors exposure to money market instruments which invest in China's inter-bank market. It will be settled in RMB, Great British pound (GBP) and euro (EUR), said LSE in a press release.

The listing is also the first of its type in any European market, noted the bourse. And CCB International Asset Management Limited is acting as its fund manager.

CCB International Asset Management is a subsidiary of CCB International (Holdings) Limited, which is a Hong Kong-based arm of the China Construction Bank.

Jin Xu, Minister Counselor of the Embassy of the People's Republic of China in Britain, said: "Today, we witness a further achievement on building off-shore RMB center in London, which we hope to see more in the future. I do believe, with passion and innovation, the UK can continually play an important role in the RMB internationalization."

Andrea Leadsom, Economic Secretary to the Treasury of Britain said: "The launch of this innovative new product, which will provide further opportunities for British and other global investors to invest directly into China, underscores Britain's position as the western centre for offshore RMB and a global centre for asset management."

Xavier Rolet, chief executive officer at London Stock Exchange Group, said: "This is a landmark listing for London and an important sign of the market's openness to new RMB product development. We are fully committed to supporting the efforts of the Chinese and the UK Governments in developing an off-shore RMB market in London through innovation and partnership."

Data showed that there are currently four RMB Qualified Foreign Institutional Investor (RQFII) ETFs listed on London Stock Exchange and since the first London listing in January 2014, RQFII ETFs have traded over 1.5 billion pounds (or 2.4 billion U.S. dollars) in value.