Ant Financial's Yu'e Bao caps daily investment at $3,000
Reuters
Published Dec 07, 2017 06:28AM ET
Ant Financial's Yu'e Bao caps daily investment at $3,000
BEIJING (Reuters) - Ant Financial's money market fund will cap the daily amount users can invest at 20,000 yuan ($3,000) from Friday, said Tianhong Asset Management Co Ltd, which manages the fund.
The decision to impose a daily cap comes six months after Tianhong set a total investment cap of 250,000 yuan per person for the fund, amid heightening regulation of online lenders.
Ant Financial is the payment affiliate of Alibaba (NYSE:BABA) Group Holding Ltd.
In a statement on Thursday, Tianhong said it made the changes "to safeguard the interests of investors, better service public investors and adhere to our position as a small cash management tool."
Chinese finance regulators have stepped up restrictions this year in an effort rein in rapid growth in the country's online finance sector.
Earlier this month, it circulated new rules barring online micro-lenders from operating without proper licensing.
Online lending and wealth management tools have flourished in China, where mobile payments are popular and regulation has historically been relaxed.
Set up in 2013, Yu'e Bao is now one of the biggest money market funds in the world, and is integrated with Ant Financial's payment app Alipay.
The fund is targeted at individual investors and earlier this year Ant Financial said the average consumer invested roughly 3,800 yuan in the fund.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.