China is still an asset in many ways

Forward-looking global asset managers are increasingly looking at the vast Chinese asset management market to invest in and grow their asset bases. Furthermore, a series of regulatory reforms in China has ensured that the market is now accessible to international firms. International firms that are trying to enter the Chinese asset management market may face challenges related to availability of specialised talent and competition from local players. Despite these challenges, the Chinese market is lucrative enough to warrant taking the associated risks. In this white paper, we examine the market-entry strategies available to international asset managers looking to build a profitable asset management business in China.

Key Takeaways

• The Chinese asset management market holds significant opportunities for global firms
• The market is relatively underdeveloped, with a limited range of products
• Global asset managers that are looking to build an onshore business in China now have multiple market-entry options
• Finding the right partner holds the key to a profitable asset management business in this market

Originally published at https://www.acuitykp.com.

Author

Avishek Suman, Associate Director, manages the Investment Research business in Acuity Knowledge Partners, Beijing. He has close to 15 years of work experience in research, including 10 years in Acuity Knowledge Partners. Prior to assuming this responsibility in Beijing, Avishek served as Delivery Manager for a team supporting the private banking arm of a large bank. He has managed multiple buy-side and sell-side clients in the past.