China Allows Global Funds to Trade Government Bond Futures

China will allow foreign investors to trade government bond futures from Friday, the latest in a series of steps to attract global capital to its debt market.

The nation’s regulators will allow qualified international investors to participate in bond futures trading for hedging purposes, according to a statement by the China Securities Regulatory Commission. The initiative is aimed at improving interest-rate risk management tools for overseas institutional investors and to enhance the attractiveness of yuan-denominated bonds, it said.