UBS said it won a key backing for its asset management business to target China's wealthy.
UBS Asset Management in Shanghai becomes the first Qualified Domestic Limited Partner (QDLP) license-holder to receive a Private Fund Management license in China, the Swiss firm said in a statement.
The approval will allow the wholly foreign-owned enterprise (WFOE) to offer onshore fixed income, equity, and multi-asset private funds to both institutional and high net worth investors in China.
Twelve years ago, UBS' asset management arm entered into a joint venture with the State Development & Investment Corporation (SDIC), to form UBS SDIC Fund Management Co which offers onshore mutual funds.
China Goals
In addition, in 2011, the Swiss firm's asset management unit was established as wholly-owned foreign enterprise in Beijing to provide investment management and advisory services for alternative investment.
«Our goal is to be a leading asset manager in China for both onshore and offshore investors and a strong partner to Chinese clients investing overseas,» said Ulrich Koerner, the unit's head.
He is leading a push to eke 1 billion Swiss francs in pre-tax profit from the overall unit, which earned just over half that sum last year.
