AIA Group has received approval from the National Financial Regulatory Administration to establish an insurance asset management company in Shanghai's Pudong New Area, a move that underscores the company's strategic expansion into the Chinese market, local authorities announced on July 2.

Shanghai, a pivotal hub in China's financial liberalization, has long been at the forefront of the nation's financial reforms. As the focal point of China’s global financial ambitions, Shanghai hosts 80 percent of the country's foreign-funded asset management institutions, 40 percent of its foreign-funded corporate banks, nearly one-third of public fund management companies, and almost a quarter of China’s insurance asset management institutions.

AIA's long-standing relationship with Shanghai dates back to 1919. The company re-entered the market in 1992, becoming one of the first foreign insurers to be licensed in China following the country's reform and opening-up. In 2020, AIA cemented its position by becoming the first wholly foreign-owned life insurance company on the Chinese mainland.

The establishment of this new asset management firm will mark a significant milestone in Shanghai's efforts to solidify its standing as a global financial hub, aligning with the city's continued push for institutional innovation and further integration into the global financial system.

Regulatory authorities have emphasized their commitment to advancing financial opening-up measures in Shanghai, thereby enhancing the city's role as a prominent international financial center. Meanwhile, Pudong New Area is poised to fast-track the creation of a core functional area dedicated to global asset management.

The Lujiazui Finance Salon series will be a key initiative designed to foster innovative solutions for financial reform and reinforce Shanghai's position as a leading global financial center.

Source: thepaper.cn