Research On The Legal System Of QDII

QDII, which is called Qualified Domestic Institutional Investors, is an important step of opening up the China's securities market gradually. As of rapid growth in foreign exchange reserves, the expected appreciation of the RMB and foreign exchange control, it is our country to implement the system of Qualified Domestic Institutional Investors in 2006.With the economic globalization and financial integration, a number of emerging countries, such as Korea, Chile, have adopted the implementation of Qualified Domestic Institutional Investors system to gradually realize the internationalization of domestic securities market, which did not open the capital projects fully. After 30 years of reform and opening up, China has been from a relatively closed economy to gradually integrated into the world. China's exports, attracting foreign investment and investment of oversea are growing rapidly. Through the implementation of QDII system , they open up a "green passage" for domestic investors to invest in overseas capital markets, and also conducive to divert our country huge foreign exchange reserves, reducing the pressure of RMB appreciation.Article is mainly divided into four major sections.The first part of the article is outlined of QDII, mainly explained the basic concepts, characteristics, classification, operation step and the reasons of our country to implement QDII and the impact of the financial markets. Because our country did not completely open capital markets currently, implement foreign exchange controls on capital project under the strict management system, but it faces economic globalization and the wave of financial integration. Opening up QDII, on the one hand, gives the country's domestic investors to find a suitable overseas road investment; on the other hand, maintains an appropriate strict foreign exchange management system to ensure that the balance of international payments, which has a positive significance for our country at present. The second part is the legal analysis of QDII system, mainly on the legal nature of the QDII system. This article considers that QDII system should belong to the legal relationship of financial trust. QDII belongs to the scope of overseas securities investment. Securities investment mostly operates as funds. The share of domestic investors is the fund holder of the legal relationship of trust clients, but also the beneficiaries of qualified domestic institutional investors is the trustee.The third part is the specific regulations of legal system of QDII. This part focuses on the specific implementation of QDII in China, including the market access system, the trustee system, information disclosure system, foreign exchange control system and the system of investor protection. That they improve these specific systems in order to safeguard the smooth implementation of QDII system, but also our country in order to achieve the purpose of opening up capital markets, the protection of domestic investors.The fourth part is about finding a route to consummate QDII of our country. As a the biggest developing country of all over the world, during the process of opening capital markets, how to consummate laws and rules, from a legal level. From the system level, in order to protect the rights and interests of domestic investors effectively, we must strengthen realm of qualified institutional investors access to markets, qualified institutional investors directly affect the eligibility of the whole system running.This article is from the dual economic and legal perspectives, to explain China's implementation of QDII system. From an economic perspective, QDII system involves the use of our country's foreign exchange reserves, China's capital market liberalization and foreign investments in the portfolio of our country's financial markets will have an enormous impact. Watching from a legal perspective, the implementation of QDII system, which also involves the domestic institutions of qualifications access, foreign exchange management, investor protection and the legal system of financial supervision of China's current regulatory regime,that has posed a challenge. Corresponding with the QFII system, QDII system opens China's domestic investors to invest outside the ordinary capital market valves, and take a progressive manner with the international market gradually. Our country achieves the orderly cross-border capital flows. Whoever can not be avoided in the wave of globalization today. With economic globalization and financial integration of the rapid development, our country will also be active in international financial markets, compete and challenge and make bold explorations into the world economic integration of the appropriate means to promote China's economic comprehensive, robust, good development.