Under the east-bound leg of the so-called Sino-Japan ETF Connect, Chinese fund managers can set up Shanghai-traded ETFs that invest at least 90% of assets in Japan ETFs that track the Nikkei 225 Index or Topix Stock Price Index, the China Securities Regulatory Commission (CSRC) said in a statement on its website.

The Shanghai-traded ETFs will be launched under the outbound Qualified Domestic Institutional Investor (QDII) scheme, CSRC said.

(Reporting by Samuel Shen and John Ruwitch)