Mirae Asset Global Investments’s Shanghai-based wholly foreign-owned subsidiary (WFOE) received approval from the Asset Management Association of China (Amac) to launch a private fund management (PFM) product in the mainland, according to Amac’s records.
The Mirae Asset China Advantage No 1 Private Security Investment Fund will be the firm’s second PFM product. The firm’s first product, the Mirae Asset Stable Growth Multi Strategy No 1 Private Security Investment Fund, received Amac approval in April last year, the records show. The firm received its PFM licence in 2018.
A PFM licence enables foreign entities to develop and sell funds investing in onshore assets to domestic qualified investors, which include institutional and high net worth investors.
FSA s0ught more information from Mirae Asset, but the firm was not able to comment in time for publication.
In total, 78 onshore funds have been launched by foreign PFM licence holders, with total AUM of RMB 7.88bn ($1.11bn) as of the end of 20 March, according to a statement from Amac. Among foreign asset managers, UBS Asset Management has the most number of PFM products with 16 funds, followed by Hong Kong-based Value Partners, which has 11 PFM funds.
Those that obtained the PFM qualification this year include Income Partners, Russell Investments, Schroder Adveq and BEA Union Investment.
Separately, Mirae Asset also manages one qualified domestic limited partnership (QDLP) product, the Mirae Asset Asia Industry Lead Equity Private Fund, which received approval from the Amac in January last year, according to Amac records.
The QDLP scheme allows foreign managers to raise money in China, with assigned quotas, to invest in offshore traditional and alternative investments, including overseas equity and bond funds, hedge funds and property.
