Aberdeen Standard Investments gains China private fund manager status

07 December 2017   Category: News, Asia, China, Global, Europe   By Asia Asset Management

Aberdeen Asset Management (Shanghai), a wholly foreign owned enterprise (WFOE) of Aberdeen Standard Investments (ASI), has been granted private securities investment fund manager qualification by the Asset Management Association of China (AMAC), the self-regulatory industry body.

The firm joins a growing list of WFOEs of overseas asset managers that have secured the qualification, including Singapore’s Fullerton Fund Management and New York-based Neuberger Berman.

According to ASI, the private fund manager status “marks a significant milestone in the firm’s growth strategy, reinforcing its commitment to build a long-term business in China.”

The qualification enables “the firm’s WFOE to manufacture and offer onshore private securities investment funds to qualified institutional and high-net-worth investors in China, expanding the breadth and depth of its investment and distribution capabilities in the onshore market,” ASI says in a statement on December 6.

Amy Wang, ASI’s head of China, notes that “the registration [with the AMAC] allows the firm to deliver a stronger proposition and client offering to investors in China.”

“Chinese investors are increasingly seeking customised investment solutions for return and diversification. ASI’s fund management team globally has a proven track record of investing in China through different asset class strategies, including equities, fixed income, multi-asset and alternatives,” she says.

Martin Gilbert, co-chief executive of ASI’s parent group, Standard Life Aberdeen, describes China as a “strategic focus for our global business, with a fast-growing economy and vast growth potential and opportunities”.

“As the Chinese government continues to reform the financial services industry, we are excited to expand our onshore business to tap into the long-term investment opportunities,” he says.

ASI, headquartered in Edinburgh, Scotland, is the product of a merger earlier this year between Aberdeen Asset Management and Standard Life.

The company had total AUM of about £583 billion (US$782 billion) as at the end of May 2017.