China Liberalizes Capital Markets

Beijing’s efforts to loosen the reins on China’s capital market is helping Manulife Financial Corp., which has been granted a license to introduce investment products in China through its wholly-owned local subsidiary. “This underlines Manulife’s commitment to China and the city of Shanghai by supporting its vision as a regional financial center,” states Donald Guloien, Manulife President and CEO. A number of foreign financial institutions such as Fidelity, Aberdeen Asset Management and Bridgewater Associates have recently introduced wholly foreign-owned enterprises in China. While foreign asset managers previously had to distribute investment products in China through minority-owned JVs with Chinese companies, China has been gradually loosening strict policies in this area.