Fidelity cleared to open its own China mutual fund business

China’s top securities regulator approved Fidelity International on Friday to set up a wholly owned mutual fund business, making the US company the second global asset manager after BlackRock to tap into the country’s fast-growing wealth market, reported Caixin.

The new company, to be based in Shanghai with $30 million of registered capital, is 100% controlled by Fil Asia Holding, a Singapore-based unit of Fidelity. The new China venture can conduct mutual fund and private fund management, the China Securities Regulatory Commission (CSRC) said in a statement. As of the end of 2020, Fidelity managed $700 billion of assets globally.