JPMorgan has already gained majority ownership of another mutual fund venture.
JPMorgan is set to establish another joint venture in wealth management with China Merchants Bank, expanding on a strategic partnership on products in 2019, reports Bloomberg.
Whilst the two parties have yet to agree on partnership details, JPMorgan is unlikely to have control, sources said. The plan is subject to change and talks could still fall apart, they added.
Global financial firms are rushing to capitalize on China’s opening of its $53t financial industry, with the likes of JPMorgan, Goldman Sachs, and UBS adding staff and expanding their footprint in everything from futures and brokerages to asset management.
Most foreign financial institutions have identified wealth management as a prime focus with investable assets estimated to double over the next few years.
JPMorgan has already gained majority ownership of a mutual fund management venture, the China International Fund Management, and plans to pay at least $1b to buy out the remaining 49% from its partner.
Here’s more from Bloomberg.
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