A wealth management product (WMP; Chinese: 理财产品) is an uninsured financial product sold in China by banks and other financial institutions. Typically they offer a high rate of interest, and sometimes, purportedly guaranteed return. As of 2016, $2.8 trillion had been sold by banks during the previous 5 years. While the government sometimes intervenes to prevent losses by investors, some WMPs have failed.[1]
Financial experts such as David Daokui Li of Tsinghua University, a member of the Chinese central bank’s monetary policy committee, believe wealth management products pose substantial risks to China's financial stability.[1]
Wealth management products grew rapidly throughout 2015 and 2016. Chinese households, companies and banks held a record balance of $3.9 trillion (26.3 trillion yuan) of WMPs as of June 30, 2016.[2]
wealth, management, product, wealth, management, product, chinese, 理财产品, uninsured, financial, product, sold, china, banks, other, financial, institutions, typically, they, offer, high, rate, interest, sometimes, purportedly, guaranteed, return, 2016, trillion. A wealth management product WMP Chinese 理财产品 is an uninsured financial product sold in China by banks and other financial institutions Typically they offer a high rate of interest and sometimes purportedly guaranteed return As of 2016 2 8 trillion had been sold by banks during the previous 5 years While the government sometimes intervenes to prevent losses by investors some WMPs have failed 1 Financial experts such as David Daokui Li of Tsinghua University a member of the Chinese central bank s monetary policy committee believe wealth management products pose substantial risks to China s financial stability 1 Wealth management products grew rapidly throughout 2015 and 2016 Chinese households companies and banks held a record balance of 3 9 trillion 26 3 trillion yuan of WMPs as of June 30 2016 2 See also editCorporate debt bubble Shadow banking in China Local government financing vehicleReferences edit a b Keith Bradshear August 12 2016 Trillions in Murky Investments Could Rock China s Economy The New York Times Retrieved August 13 2016 Jun Luo August 31 2016 China Wealth Management Products Rise to Record 3 9 Trillion Bloomberg Retrieved October 16 2016 nbsp This China related article is a stub You can help Wikipedia by expanding it vte Retrieved from https en wikipedia org w index php title Wealth management product amp oldid 1150163004, wikipedia, wiki, book, books, library,
