With China’s total assets under management crossing US$10 trillion, Guangzhou is keen on establishing an asset management hub for the Greater Bay Area in an effort to seize the opportunities arising from the growing wealth in the region.
The city’s local government has recently rolled out a three-year action plan to support the formation of its own international business hub in the GBA, establishing centres for asset management, green finance, fintech, cross-border investments and regional factor market.
According to a Chinese think tank, the asset management centre and the cross-border investment centre will provide further convenience to overseas investors looking to tap the Chinese market.
The move follows the 66 measures supporting the development of the GBA issued by the city last year, which also talks about the asset management industry from the perspective of opening up the market.
On top of the GBA asset management hub to be built in Guangzhou, and the established global asset management hub of Hong Kong, Shanghai has also announced plans to form its own global asset management centre.
Against this backdrop, Guangzhou needs to find its differentiator, particularly in terms of offering high-class services and stronger global asset allocation capabilities, according to the Chinese think tank.