Multiple Bank Wealth Managers Cancel Products Over Fundraising Shortfalls; Regulator Adopts Per-Product Scale

A number of bank wealth management institutions have recently issued announcements that products will not be established, mainly because the funds raised failed to meet the minimum subscription amount stipulated in the product prospectus. While new product launches are frequently failing to raise sufficient funds, many existing products have also been terminated early as redemptions pushed their sizes below the clearing line. Regulators have implemented the 'Interim Measures for the Supervision and Rating of Wealth Management Companies,' guiding the industry to abandon scale-driven expansion. The average outstanding scale of single products, or 'average scale per product,' has become an important benchmark for internal refined assessment, forcing the accelerated elimination of inefficient mini products.

XinYin Wealth Management announced that its 'HuiYing Xiang Fixed Income Enhanced One-Year Closed-End Product No. 90' would not be established because the subscription amount did not reach the minimum scale of RMB 5 million. GuangDa Wealth Management issued notices stating that its 'Sunshine Gold Fixed Income Enhanced Stable Daily Purchase No. 95 (7-day minimum holding)' and 'Sunshine Gold Fixed Income Enhanced Stable Lexiang Daily Open No. 91' products, among others, did not reach the minimum subscription amount by the end of the fundraising period. The managers will treat these products as not established, and investors' subscription funds will be fully refunded via sales service institutions. BoYin Wealth Management announced that its 'CaiShou YouLue Series Fixed Income 18-month Closed-End Wealth Management Product 2026 No. 16' did not reach the minimum scale during the fundraising period, so the product could not be established. HuiYin Wealth Management also announced that a certain 'AnYing WenLi 6-month Fixed Income Wealth Management Product' did not meet the establishment criteria and would not be established.

Some small and medium-sized banks that have not yet set up wealth management companies are still operating proprietary wealth management business. Jiangnan Rural Commercial Bank announced that its 'ChunFu AnXin YouXiang Closed C2602 Issue 12' wealth management product issued in June 2026 would not be established because the subscription amount did not reach the minimum establishment scale.

Regarding existing wealth management products, ZhongYou Wealth Management stated that, according to the terms of the product termination clause in the prospectus for its 'Postal Savings Bank Wealth · HongJin HeJiaHuan One-Year Fixed Open No. 2 (AnYing Edition)' RMB wealth management product, the total shares of the product fell below 100 million units for 10 consecutive trading days. To protect client interests, the product is planned to be terminated early. ZheYin Wealth Management, in its announcements of early termination of the C shares of its 'CongJian YongJin 60-day Holding No. 2' and 'CongJian YongJin 90-day Holding No. 7' wealth management products, cited that the product share scale was relatively small and, to protect investor interests, the product manager planned to terminate these product shares early.

On July 28, the Banking Wealth Management Registration and Custody Center released the 'China Banking Wealth Management Market Semi-Annual Report (2026 H1),' which showed that as of the end of the first half, the outstanding scale of the bank wealth management market stood at RMB 33.66 trillion, an increase of about RMB 1.75 trillion from the end of the first quarter of 2026. The number of investors holding bank wealth management products exceeded 151 million, an increase of 5.59% from the start of the year.