HONG KONG (Reuters) - A subsidiary of BlackRock Inc has become the first United States-based asset manager to be awarded a Renminbi Qualified Foreign Institutional Investor (RQFII) quota to invest in China's capital markets.
On Thursday, BlackRock <BLK.N> said that an 11 billion yuan ($1.60 billion) quota was granted to BlackRock Fund Advisors by China's State Administration of Foreign Exchange (SAFE).
"China remains an important investment destination for our clients," said Ryan Stork, the firm's Asia-Pacific chairman.
Including the most recent quota granted by the SAFE, BlackRock now has a combined RQFII quota of 35.1 billion yuan, among which BlackRock (Singapore) Limited has 20 billion yuan, BlackRock Asset Management North Asia Limited has 2 billion yuan and BlackRock Advisors (UK) Limited has 2.1 billion yuan.
In June, China said it would give U.S.-based managers a quota to buy mainland assets, and the total available was set at 250 billion yuan. The move was expected to deepen financial ties between the world's two largest economies and help internationalize the yuan.
(Reporting by Michelle Chen; Editing by Richard Borsuk)