Thu, Apr 17, 2014
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Cerulli report claims China’s largest asset managers will go global in five years

Wednesday, December 12, 2012

Beverly Chandler, Opalesque London: On the back of regulatory change instituted by Guo Shuqing, chairman of the China Securities Regulatory Commission and other drivers for growth in the Chinese asset management industry, Cerulli Associates projects that the Chinese mutual fund industry's assets under management will grow at a four year compound annual growth rate of 13.3% to RMB3.9 trn (US$614.1 bn) by 2016.

Cerulli believes that Chinese investors will walk away from their direct equity culture and return to equity funds by 2014 or 2016. But the firm warns that the progressive, fast-paced regulatory moves will benefit only the largest asset managers.

The Cerulli Quantitative Update: Asset Management in China 2012 says the new regulatory direction has several side effects. "It creates simultaneous competition from other segments of the financial services industry, such as securities companies that are now allowed to create and sell a wide variety of products without having to seek approval from the regulator" the firm writes.

"Securities companies' new investment parameters include commodities futures, interest rate forwards and swaps, asset management products investing into securities firms' special projects, and wealth management schemes from commercial banks and trust companies" Cerulli says.

"These are the types of assets that wealthy invest......................

To view our full article Click here

Banner
Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing
  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Opalesque Exclusive: European stock-picking fund up 19% YTD, bets on small caps’ high cash level[more]

    Benedicte Gravrand, Opalesque Geneva for New Managers: Here is a European long/short equity fund that has been beating the odds since its 2008 inception by employing its own investment model, frequent company visits

  2. CTAs could face new challenges in a rising rates environment[more]

    Bailey McCann, Opalesque New York: CTAs have taken a beating performance wise lately, and asset flows reports show that investors aren't sticking around to see how the movie ends. Now, a new white paper from Roy Niederhoffer and Coen Weddepohl notes that as interest rates start to tick back u

  3. Investing – Big hedge funds bought Puerto Rico's junk bonds, Fidelity explores new trading venue amid flash trade concerns, Crisis-era Greek bonds reward early buyers with big effective returns, Cargill unit discloses stake in Freddie preferred[more]

    Big hedge funds bought Puerto Rico's junk bonds From Reuters.com: Several large hedge funds doubled down on Puerto Rico in last month's giant bond sale despite the U.S. territory's financial struggles, the Wall Street Journal reported, citing confidential documents reviewed by the newspa

  4. Opalesque TV: First Trust Advisors launches liquid alternatives platform[more]

    Bailey McCann, Opalesque New York: First Trust Advisors is launching a new liquid alternatives platform aimed at building on the companies existing alternative ETFs offering by adding hedged mutual funds. Senior Portfolio Managers Rob Guttschow and John Gambla recently sat down in an

  5. Commodities – Popular value fund manager David Iben bets on Russia, gold,[more]

    From Reuters.com: With large bets on Russia and North American gold miners, one of the best performing stock pickers in the wake of the 2008 financial crisis is back with a new fund that reflects his deep aversion to following the crowd. In the Kopernik Global All-Cap Fund, David Iben is follo