Allianz Global Investors (AllianzGI) has obtained approval from China’s securities regulator to operate as a wholly foreign-owned public fund management company (FMC) in mainland China.
AllianzGI had previously received approval in August last year to set up the FMC, with a registered capital of Rmb300m ($41.4m).
A spokesperson for AllianzGI declined to comment on plans for the launch of specific funds in mainland China.
AllianzGI set up its wholly foreign owned enterprise office in 2017 and also obtained its qualified domestic limited partner licence the following year.
AllianzGI is one of several foreign asset managers to have received the green light to launch a wholly-owned FMC in mainland China. BlackRock was the first to get the go-ahead in 2021 and after a lull, China’s Securities Regulatory Commission began granting further approvals towards the end of 2022.
According to Z-Ben’s annual rankings of global asset managers’ performance in China, AllianzGI ranked 10th this year, down four places from 2023.
“Building our business in China is a long-term strategic priority for AllianzGI. Having obtained our FMC licence, we can now commence our public fund management business in this dynamic market, allowing us to begin serving the growing population of retail investors in the country,” said Tobias Pross, chief executive officer at AllianzGI.
“China’s trillion-dollar mutual fund market is poised for strong growth due to ageing demographics, rising household incomes and ongoing pension reforms. AllianzGI is well positioned to serve this growing market, blending global active asset management and market experience with local delivery to provide a diverse range of innovative investment solutions to clients. By continuing to invest in local talent in China and harnessing digital technologies, we aim to create value for our clients and further support the growth of our business in China.”
“We are delighted to be able to extend our services to onshore Chinese investors. China is central to our business strategy and with the FMC approval, we will further increase our active engagement in the region,” said Leo Shen, general manager of Allianz Global Investors Fund Management Co.
“With our global investing and advisory capabilities, as well as an experienced local team in China, we are committed to establishing a comprehensive platform that offers diversified investment solutions and advisory services, as we look to become a trusted partner for Chinese clients.”
