Fund Management

Eastspring Investments Sets Up WFOE In China

Robbie Lawther Reporter 12 March 2018

Eastspring Investments Sets Up WFOE In China

The firm's new operation is subject to the registration with the Asset Management Association of China.

Eastspring Investments, the $170 billion Asian investment management arm of Prudential, has set up an investment management wholly-foreign owned enterprise (IM WFOE) in China through a Hong Kong entity, part of a trend of overseas firms pushing into the Asian giant's economy.

The entity allows Eastspring to operate an onshore investment management business in China, subject to registration of the IM WFOE with the Asset Management Association of China (AMAC) as a private fund manager, the firm said in a statement.

Once the registration is complete, Eastspring can manage and distribute private funds to qualified clients in China.

“As a leading Asia-based asset manager, China represents a significant growth opportunity for us,” said Guy Strapp, chief executive. “Our IM WFOE will enable us to establish an on-the-ground presence in mainland China and complements our existing joint venture partnership with CITIC-Prudential Fund Management Company.This reaffirms our commitment to this important market, providing us with a foundation for the long-term development of our asset management business and enhancing our ability to serve professional investors, both in China and globally,” 

This comes after Aberdeen Asset Management, Invesco and UBS looked to tap into the RMB10 trillion ($1.51 trillion) Chinese private fund market. 

Appointments
Eastspring has also appointed its head of corporate strategy, mergers and acquisitions, Bernard Teo as the legal representative and Michael Lu as the general manager designate for the China IM WFOE. 

Lu joined Eastspring in late February in a consulting capacity. He was previously with Robeco, where he led the China business for 10 years.

Register for WealthBriefingAsia today

Gain access to regular and exclusive research on the global wealth management sector along with the opportunity to attend industry events such as exclusive invites to Breakfast Briefings and Summits in the major wealth management centres and industry leading awards programmes