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June 28 (NBD) -- China Merchants Bank Co., Ltd. (600036.SH) announced Wednesday at the shareholders' meeting for 2017 that the amount of assets managed by the bank will be reduced from 2.3 trillion yuan (348.7 billion U.S. dollars) to 1.5 trillion yuan (227.4 billion U.S. dollars) under China's new regulations on asset management.

Among that, around 600 billion yuan (91.0 billion U.S. dollars) worth of structured deposits and risk-free financial products will be trimmed.

Moreover, as wealth management products categorized as non-standard credit assets can't be issued by rolling release or in a maturity mismatching way, investment in such assets will decline, hence shrinking size of related wealth management products.

With regard to the potential impact on China Merchants Bank caused by handling off-balance-sheet assets, the bank's management team noted that 30 percent of the bank's non-standard assets will be due beyond the transition period for the new asset management policy, which has been extended through the end of 2020. Regarding this, the bank has corresponding measures in place, including demanding prepayment from enterprises and converting non-standard assets into standard ones.

Email: tanyuhan@nbd.com.cn