AUM, Europe's largest asset management giant, is reported to be preparing to apply for a public fund license in China. After owning two joint ventures in China, the European asset management giant has continued to expand its business in China. ACM currently owns a joint venture fund company in China, ABC-CA Fund and Huihua Wealth Management, the latter being my country's first foreign-controlled joint venture wealth management company. Huihua Wealth Management got off to a smooth start and made a breakthrough in scale. In terms of product sales channels, in addition to the shareholder Bank of China, it is also actively exploring external channels. The company said that the European stock market suffered a setback in the second quarter, but the business of joint ventures in Asia, including China, was strong. Among them, the Agricultural Bank of China Fund received a net inflow of 3.7 billion euros, mainly contributed by institutional business.

The reporter was informed that another European giant, Allianz Investment, is also actively seeking a public fund license and is preparing to set up a joint venture wealth management company with a bank. The European asset management giant has recruited people with executive backgrounds in joint-venture mutual funds. It is understood that after the release of the wholly foreign-owned public fund license, it has become the ultimate goal of foreign asset management in China. The usual path for foreign asset management institutions is to first accumulate customers through QDLP (Qualified Domestic Limited Partnership) or PFM (Private Equity Fund, usually referred to as a securities private equity manager), etc., lay out channels, and then apply for a public fund license when the time is ripe. Because public offerings require more employees and higher system costs, many institutions choose to test the waters through private placements first. In addition, since public fund management companies take a long time from application to opening, it may be more comfortable for foreign institutions to operate QDLP or PFM business at the same time. Now, Allianz Investment, which has mature QDLP business operations, has begun to seek the next step in its business development plan.

In addition, according to media reports, UBS also intends to apply for a wholly-owned public fund license in China. UBS responded to reporters' inquiries and said it would not comment on the news. As of now, in terms of wholly foreign-owned public funds, following BlackRock's development, both Lubrizol and Fidelity Fund have completed on-site inspections and are waiting to open. In addition, the equity change of Shanghai Investment Morgan is subject to regulatory approval. If approved, Morgan Asset Management will also become a foreign-funded institution with a wholly-owned public offering.