BlackRock Inc.’s majority-owned wealth management joint venture in China has been approved by regulators.
The world’s largest asset manager says China’s banking and insurance regulator has issued the licence to the joint venture firm, BlackRock CCB Wealth Management.
The firm is 50.1% owned by BlackRock, 40% by CCB Wealth Management Co, a unit of China Construction Bank, and 9.9% by Singapore state investment company Temasek Holdings.
BlackRock says the joint venture will draw on its investment management expertise and the distribution network of China Construction Bank to meet Chinese investors’ demand for diversified asset management solutions.
“The Chinese market represents a significant opportunity to help meet the long-term goals of investors in China and internationally. We’re committed to investing in China to offer domestic assets for domestic investors…” BlackRock Chairman Laurence D. Fink says in a statement on May 12.
BlackRock has another joint venture in China, but it’s the minority partner in that partnership, Bank of China Fund Management, which was set up in 2004.
In 2018, the asset manager established a wholly-owned unit, BlackRock Investment Management (Shanghai).
BlackRock had US$8.68 trillion of total assets as of December 2020.