China's National Financial Regulatory Administration (NFRA) has released for public comment draft measures that would create a dedicated, unified information disclosure framework for asset management trust products, wealth management products and insurance asset management products, with the stated aim of aligning standards for similar business and strengthening investor protection. The draft includes six chapters and 35 articles covering scope, disclosure principles and supervisory responsibilities, general requirements on disclosure channels, responsible parties, formats, prohibited conduct and document standards, and detailed disclosure obligations across the full product lifecycle. Requirements span offering-stage disclosures such as product prospectuses or contracts, risk disclosure documents, custody agreements, issuance announcements or reports and performance benchmarks, ongoing disclosures such as periodic reports, periodic net asset value disclosures and historical performance, ad hoc disclosures for material events, and termination-stage disclosures including maturity announcements and liquidation reports that cover fees and distribution of returns. Internal governance provisions set expectations for proactive disclosure, allocate duties to custodians and sales institutions and require document retention, while the supervision and legal liability chapter assigns roles to the NFRA and its local offices, self-regulatory organisations and information disclosure platforms, and sets out penalties for breaches; the draft also differentiates between public and private products, with stricter requirements for public offerings and baseline requirements supplemented by contractual arrangements for private products. The NFRA proposes an implementation date around six months after final issuance to allow institutions to update documentation and complete system changes and connections, and envisages a “1+3” disclosure rule framework in which industry associations and product registration bodies issue more detailed rules tailored to the three product types.
China Banking and Insurance Regulatory Commission 2025-05-23
China's National Financial Regulatory Administration launches consultation on unified information disclosure rules for trust, wealth management and insurance asset management products
China's National Financial Regulatory Administration (NFRA) has issued draft measures for public comment to create a unified information disclosure framework for asset management, wealth management, and insurance asset management products. The draft includes comprehensive disclosure requirements across the product lifecycle, with stricter standards for public offerings. The NFRA plans a "1+3" disclosure rule framework, with detailed rules from industry associations and product registration bodies, proposing implementation six months after final issuance.