Growth in the wealth management business at Chinese banks lost steam in 2017 amid tightened regulations to contain financial risks, an industry report showed on Monday.
The balance of wealth management products stood at 29.54 trillion yuan (.69 trillion) by the end of 2017, up 1.69 percent but with growth down by 21.94 percentage points compared with 2016, according to a report released on Monday by an industrial body that tracks the sector.
Among them, financial interbank wealth management products, a high-leverage business, saw their balance plummet by over 50 percent year-on-year. Their share among all wealth products fell by 11.88 percentage points.
Financial institutions in the banking sector sold new wealth management products worth 173.59 trillion yuan last year.
An official document on regulating the asset management business of financial institutions is expected to be released in February, further defusing financial risks in the banking sector, domestic news website sina.com reported on Monday.