Under the terms of the agreement, BNPP IP and TCB will hold 49% and 51% respectively in the new company. BNPP TCB AM will be fully supported by its two shareholders.
Deng-Cheng Liu, chairman of TCB, said: “We are confident that by fully exploiting both TCB’s and BNPP IP’s capabilities, BNPP TCB AM’s customers will benefit from our combined expertise in equities, fixed income and other asset classes via both funds and tailor-made mandates.
“But the creation of BNPP TCB AM will not only provide domestic investors with high-quality investment products – it will also write a new page in the history of Taiwan’s fund industry.”
Philippe Marchessaux, CEO of BNPP IP, said: “We are delighted to be joining forces with TCB, one of Taiwan’s most influential banks, to create a top-class player in the Taiwanese asset management market. This alliance ties in perfectly with our strategy of building a network of partners with which we share high standards and common values. As well as consolidating BNPP IP’s presence in Asia, this project will reinforce our position as a leader in the emerging markets.”
However, the signing of the joint venture agreement is the initial step in the process of creating a stand-alone asset management company. This process will be finalised once an asset management licence is obtained and is subject to the relevant local regulatory approvals.
