BlackRock Financial Management has received approval from the China Securities Regulatory Commission to set up a wholly-owned mutual fund management company in the country, reported Reuters.
BlackRock is the first foreign business to receive the approval in China. The new company is based in Shanghai and has registered capital of RMB 300 million ($43.7 million), according to a statement on the CSRC’s website. Its business scope includes mutual fund management, fund sales and handling private assets.
Earlier this year, the CSRC also received applications from both BlackRock Financial Management and Neuberger Berman Investment Advisers to set up mutual fund management companies.