Branded as China Life AMP Asset Management Company, the new JV will deliver investment products and services initially in domestic listed equities and fixed income to Chinese retail and institutional investors, to meet their evolving wealth management requirements.
The proposal to set up the new asset management company has already been okayed by the China Insurance Regulatory Commission (CIRC), although it is pending for the approval of the China Securities Regulatory Commission (CSRC).
In the planned JV, the Australian company will have a 15% shareholding, while the rest 85% will be managed by the China Life Asset Management Company, a subsidiary of China Life Insurance (Group) Company.
The new company is being set up as per the latest regulation effective from 21 June 2013, which permits insurance firms in China to form funds management companies offering public mutual funds to retail and institutional investors.
Commenting on the formation of the new company, AMP CEO Craig Dunn said that China is an important part of AMP’s growth strategy which is focused on expanding internationally through its funds management business AMP Capital.
"A funds management joint venture in China is a strategically significant move for AMP, giving us direct access to the world’s second largest and fastest growing major economy(2)," Dunn added.
With the launch of the new JV, AMP Capital has significant institutional and retail reach in three of the world’s largest savings and pension markets, including Australia, China and Japan.
