View all newsletters
Receive our newsletter - data, insights and analysis delivered to you
  1. News
September 13, 2021

China unveils wealth management product pilot

By Verdict Staff

The banking and insurance regulator of China is set to launch a wealth management product pilot in four cities, targeting retail investors looking to boost their pension savings.

Free Report
img

Analyze opportunies within the wealth management market in APAC

GlobalData’s ‘Asia-Pacific Wealth Management: Market Sizing and Opportunities to 2026’ report provides a comprehensive overview of the Asia-Pacific (APAC) wealth management market.
  • The report analyzes the APAC wealth and retail savings and investments markets. This includes affluent market size, both by number of individuals and the value of their liquid assets.
  • The affluent population grew by 5.3% in 2021 and is expected to grow at an AAGR of 4.8% between 2022 and 2026.
  • The value of liquid assets held by the affluent segment surged by 8.4% in 2021, backed by economic recovery. HNW individuals’ financial wealth grew by 12%, while mass affluent individuals’ wealth grew by 6.0%.
  • The report provides an analysis of factors driving liquid asset growth. It is also split into asset classes - equities, mutual funds, deposits, and bonds.
  • The affluent population are more risk-tolerant and invest a significant proportion of their investments in risky assets such as equities, compared to emerging affluent and mass market individuals.
The report also provides data and insights on the size of offshore holding of HNW investors in the APAC region.
by GlobalData
Enter your details here to receive your free Report.

Pilots will be rolled out in the central city of Wuhan, eastern coastal city Qingdao, western city Chengdu, and southern city Shenzhen, reported Reuters.

The wealth management unit of Industrial and Commercial Bank of China, China Construction Bank, China Merchants Bank and China Everbright Bank will distribute the products starting from 15 September.

The bank involved can raise up CNY10 bn ($1.6 bn) of products which will remain in place for a year.

The move is part of China’s strategy to transform its $1.2 trillion pension system for a rapidly aging population.

Last month, Chinese regulators established a state pension company with registered capital of CNY 11.2bn.

This newly established company, which is expected to help boost funds for retirees, is owned by 17 bank-affiliated wealth management units, insurers, and state institutions.

In China, the retirement age for civil servants and white-collar workers is 55 for women and 60 for men.

Other developments

Earlier this month, reports said that a hedge fund unit of UBS Group is mulling to offer its clients direct access to its China strategy, which registered double-digit growth this year.

At present, UBS clients can access the China strategy only through a $3.2bn multi-strategy investment pool provided by UBS O’Connor, the company’s New York-based hedge fund unit.

Last month, The Telegraph reported that the UK-based life insurer and asset manager Legal & General Group is planning to expand its operations to China.

Recently, BlackRock has reportedly raised about $1bn (CNY6.8bn) from more than 111,000 investors for the launch of its maiden mutual fund in China.

Launched at the end of August 2021, the BlackRock China New Horizon Mixed Securities Investment Fund ceased accepting new subscription a week prior to its planned closing date.

Free Report
img

Analyze opportunies within the wealth management market in APAC

GlobalData’s ‘Asia-Pacific Wealth Management: Market Sizing and Opportunities to 2026’ report provides a comprehensive overview of the Asia-Pacific (APAC) wealth management market.
  • The report analyzes the APAC wealth and retail savings and investments markets. This includes affluent market size, both by number of individuals and the value of their liquid assets.
  • The affluent population grew by 5.3% in 2021 and is expected to grow at an AAGR of 4.8% between 2022 and 2026.
  • The value of liquid assets held by the affluent segment surged by 8.4% in 2021, backed by economic recovery. HNW individuals’ financial wealth grew by 12%, while mass affluent individuals’ wealth grew by 6.0%.
  • The report provides an analysis of factors driving liquid asset growth. It is also split into asset classes - equities, mutual funds, deposits, and bonds.
  • The affluent population are more risk-tolerant and invest a significant proportion of their investments in risky assets such as equities, compared to emerging affluent and mass market individuals.
The report also provides data and insights on the size of offshore holding of HNW investors in the APAC region.
by GlobalData
Enter your details here to receive your free Report.

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. A weekly roundup of the latest news and analysis, sent every Wednesday. The industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU

Thank you for subscribing to Private Banker International