BlackRock, the world's largest asset management firm headquartered in New York, has been increasing its investment in China's financial sector and expanding its business in the country, especially in Shanghai's Pudong New Area.

On June 11, BlackRock was granted a license to run a 100 percent-owned fund management company, BlackRock Fund Management Co, in Pudong New Area. The company, which has a registered capital of 300 million yuan ($46.29 million), is China's first wholly foreign-owned publicly offered fund company.

The inauguration ceremony of BlackRock CCB Wealth Management Co is held on the sidelines of the 13th Lujiazui Forum in Shanghai. [Photo/WeChat account of the administrative committee of China (Shanghai) Pilot Free Trade Zone]

Earlier on May 12, a joint wealth management company created by BlackRock, China Construction Bank, and Singapore government investment company Temasek was approved to begin operation. The company has a registered capital of 1 billion yuan.

Three other BlackRock subsidiaries, which focus on different businesses like investment management in China's A-share market, have also been established in Shanghai.

BlackRock's rapid business expansion has come as a result of China's latest policies to further open up its financial sector, the favorable business environment in Pudong New Area, as well as its optimistic outlook for the future.

Pudong New Area has been ramping up efforts to improve its financial infrastructure, attract more institutions, as well as provide diverse products, with the aim of building the city into an international financial hub.