On the back of China opening its financial markets an independent compliance consulting firm is moving to Shanghai.
In April this year China launched a new rule allowing foreigners to own a majority in domestic securities firms. Now Complianceasia, an independent compliance consulting firm, will open a Shanghai-based wholly foreign-owned entity, according to a media statement.
Initially the consultant will also focus on working with Chinese and foreign-owned financial services firms and asset managers which are registered with the Asset Management Association of China, AMAC.
Chinese Open Door
«China has seen a proliferation of small-to-mid-size asset managers over the past few years. However, the rules and regulations applicable to AMAC members are relatively new and guidance on related compliance issues are highly sought after,» said Philippa Allen, Complianceasia CEO.
A growing number of global asset managers have piled into China in the hope that they can tap into the aspirational middle class growth. Blackrock, the world's largest asset manager was the latest to clinch access to the key China market segment, following Fullerton Fund Management, and Fidelity International.
Give China Face
Last year UBS Asset Management became the first Qualified Domestic Limited Partner (QDLP) license-holder to receive a Private Fund Management license in China.
China has opened its financial market and is now only second to the U.S. market in terms of size, according to Michael Levin, head of Credit Suisse asset management in Asia Pacific.
«People don’t give the government enough credit for how China has developed the market and how quickly it opened the finance industry for non-Chinese rivals,» Levin recently said in an interview with finews.asia.
