China and Hong Kong launched a long-awaited "Bond Connect" scheme

On Monday, China and Hong Kong launched a long-awaited "Bond Connect" scheme that links China's $9 trillion bond market with overseas investors, the latest step in Beijing's efforts to liberalize and strengthen the country's capital markets, Reuters reports.

On the’ Bond Connect’ scheme, Goldman Sachs said, “We continue to hold the view that there could be more than $1 trillion of additional global fixed income investments to be allocated to China domestic bonds over the coming decade."