Global asset manager Neuberger Berman has become one of the few firms to secure regulatory approval for a wholly owned mutual fund business on the Chinese mainland.
According to the firm, it is now the second institution to be licensed by the China Securities Regulatory Commission (CSRC) to manage local currency mutual funds for domestic investors.
The first firm to be approved, Canadian insurer Manulife, was licensed last week.
The CSRC’s actions have eased concerns that China was not as committed to liberalising its funds market as previously in the wake of Xi Jinping’s efforts to consolidate power.
As Neuberger Berman Fund Management (China) CEO Patrick Liu said: “China is the world's second largest capital market and the country's commitment to opening up to high-quality financial services will bring significant opportunities for local investors.”
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