A Japanese company has been green-lighted by Chinese regulators to set up the mainland’s first fully foreign-owned money broker, amid ongoing market opening.
Tokyo and Osaka-based money broker, Ueda Yagi Tanshi, has been approved to set up the wholly-owned entity, according to the China Banking and Insurance Regulatory Commission (CBIRC).
Within six months of approval, Ueda Yagi Tanshi must establish the new company, the CBIRC added, which will be allowed to provide intermediary services including facilitation of fundraising, bond trading and foreign exchange trading among financial institutions.
Enter Japan
A handful of Japanese financial firms have been looking to increase their foothold in China following Beijing’s decision to further commit to opening up the sector for foreign participants.
Nomura, for example, reportedly added more office space earlier this year with plans to grow local headcount to 500 by 2023.
In another example, Daiwa Securities told media that it might even accelerate its expansion in mainland China at the expense of Hong Kong should the latter continue to see «people getting arrested one after another», according to the firm’s deputy president Keiko Tashiro.
