J.P. Morgan launches first money market fund automatic transfer solution in China

J.P. Morgan launches the first money market fund (MMF) automatic transfer solution in China to provide corporate treasurers with automated investment order placement to designated fund house.


Based on the standing instruction setup requests from clients, J.P. Morgan will check clients’ designated renminbi account balances at the agreed timing, and automatically generate MMF subscription or redemption for clients on the same day if the available balances trigger the defined investment or redemption balance thresholds. This solution will help clients enhance efficiency, flexibility, and controllability in managing surplus cash.


“This solution is a service for the market covering balance management and short-term investment in China,” said Brett Krause, head of treasury services for greater China at J.P. Morgan.


“This new approach will enable clients to easily invest in MMF across standalone renminbi accounts and accounts in cash concentration structures, as well as effectively reduce paper work by one-time setup documentation. Moreover, clients can flexibly adjust the balance threshold settings and checking days according to their actual needs.”


“Clients will have easy, packaged access to China’s fixed income markets, with competitive fund yields, which is exempt from corporate income tax in China,” said Kheng Leong Cheah, head of sales, global liquidity business for Greater China at J.P. Morgan Asset Management.


“In addition to the returns, this MMF automatic transfer solution is also efficient in terms of its low cost of execution and delivery.”


Online reporting of investment activities and holdings is available via J.P. Morgan access portal and global cash portal for users of the transfer solution.