From The Wall Street Journal:
China set foreign-exchange rules governing fund-management companies investing in overseas capital markets, as part of efforts to further liberalize the country’s capital account.
The rules define the procedure for applications by fund-management companies for overseas investment, the State Administration of Foreign Exchange said in a statement on its Web site.
The regulator also placed restrictions on the use of foreign exchange by local residents and institutions to buy fund products, to try to limit potential financial risks.[Full Text and Subscribers Only]