AIA Insurance Asset Management Company and Aegon Asset Management (Shanghai) received approval from the Shanghai Municipal Financial Regulatory Bureau to begin operations in Shanghai on Dec 30, marking a further step in China's financial opening-up and strengthening the city's position as an international financial center.

Both firms are wholly foreign-owned. AIA Insurance Asset Management Company is a wholly owned subsidiary of AIA Life Insurance Co Ltd, the first wholly foreign-owned life insurance company in the Chinese mainland. Its controlling shareholder, AIA Group, was originally established in Shanghai over a century ago and now operates across 18 markets in the Asia-Pacific region.

Aegon Asset Management (Shanghai) was initiated by Aegon Group, a global financial services group with a history of more than 180 years.

With operations covering multiple countries and regions worldwide, the group offers long-term life insurance, asset management, and retirement solutions to both institutional and individual clients.

The approved registered capital is 100 million yuan ($14.33 million) for AIA Insurance Asset Management Company and 250 million yuan for Aegon Asset Management (Shanghai).

In June, the National Financial Regulatory Administration approved the two insurance asset management companies to prepare for establishment. Less than six months later, the Shanghai Municipal Financial Regulatory Bureau granted approval for them to commence operations.

Their entry is expected to further enrich the city's asset management ecosystem and enhance its role in global capital allocation.

Source: ThePaper