SINGAPORE, Oct. 5, 2021 /PRNewswire/ -- Lu International (Singapore) Financial Asset Exchange Pte. Ltd. ("Lu International"), a subsidiary of China's leading technology-empowered personal financial services platform Lufax Holding (NYSE: LU), is set to formally launch its first offshore RMB fixed-term product in partnership with Ping An Trust. The new offshore RMB product will be available on the Lu Global App
The offshore RMB product offering is to be issued by Ping An Trust with RMB-denominated urban investment bonds as the underlying assets. At the same time, Lu International will serve as the official online distribution platform for users worldwide.
Commenting on the new product launch, Lu International COO Ye Tingting said, "The rising recognition of the RMB internationally and the continuous operational improvement of the offshore RMB market, has led the market share of renminbi to grow significantly. In response to this, we have taken a proactive approach to providing comprehensive asset allocation options to Lu International's global users by leveraging the high-quality assets of Ping An Trust."
Global RMB is here
The implementation of a new dual circulation strategy in China has led to significant growth in the offshore RMB market and the internationalization of the currency.
Taking the London market as an illustration, according to public records, as of the end of May 2021, total actual receipts and payments of cross-border RMB services handled by China and the UK reached approximately 763.9 billion yuan, a significant increase of 61% over the prior-year period.
The trading volume of London's RMB foreign exchange market also maintained solid growth. Data from the Bank of England showed that during the first quarter of 2021, the average daily trading volume of offshore RMB foreign exchange in London had reached 96.8 billion pounds, up 9.01% sequentially.
While the value of deposits and loans denominated in RMB in London's offshore market was slightly lower than that recorded in the same period of last year. As of the end of the first quarter of 2021, the balance of RMB deposits in the London offshore market was approximately 72 billion yuan, an increase of 11.21% quarter-on-quarter and a slight decrease of 5.12% year-on-year.
With the implementation of China's dual circulation policy, smooth-functioning domestic and international RMB circulation will enhance the use of the currency in global markets. In this context, expanding offshore RMB asset business and enhancing offshore RMB liquidity is of great significance to the internationalization of the RMB.
About Lufax Holding Ltd
Lufax Holding Ltd is a leading technology-empowered personal financial services platform in China. Lufax Holding Ltd primarily utilizes its customer-centric product offerings and offline-to-online channels to provide retail credit facilitation services to small business owners and salaried workers in China, as well as tailor-made wealth management solutions to China's rapidly growing middle class. The Company has implemented a unique, capital-light, hub-and-spoke business model combining purpose-built technology applications, extensive data, and financial services expertise to effectively facilitate the right products to the right customers. For more information, please visit www.lufaxholding.com.
About Lu International
Lu International (Singapore) Financial Asset Exchange Pte. Ltd.("LUI") (Co. Reg. No. 201702479G) holds a capital markets services license issued by the Monetary Authority of Singapore under the Securities and Futures Act (Cap. 289 of Singapore) ("SFA") in respect of its business in the SFA regulated activities of dealing in securities, fund management and providing custodial services for securities, to eligible customers.
Lu Global is an online mobile wealth management and investment platform operated by LUI and headquartered in Singapore. It offers 24/7 online access to a wide range of high-quality investments and the opportunity to easily invest in small amounts with low commitment periods to provide maximum flexibility while benefitting from attractive returns.
