JP Morgan has sought to take full ownership of China International Fund Management (CIFM) after caps on full ownership of local asset management firms were lifted on April 1, 2020.
The process includes seeking approval from the China Securities Regulatory Commission (CSRC).
A major them of 2019 was China’s opening of its onshore markets to the outside world. In terms of significance, it is akin to – and indeed a natural extension of – its inclusion into the World Trade Organization in 2001.
Dan Watkins, chief executive of Asia Pacific at JP Morgan said: “We welcome China’s removal of foreign ownership restrictions, enabling us to deepen our long-term involvement with CIFM to 100% ownership, in alignment with China’s laws and regulations and with the full agreement of our joint venture partners.”
Asset managers including BlackRock and Neuberger Berman are also understood to have submitted applications to set up wholly owned mutual fund units to the CSRC.
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