Foreign groups to manage Chinese pensions

China's labor ministry this week awarded the first operating licenses to 15 investment managers, among them foreign financial groups ING, Fortis, Deutsche Bank and Canada's Bank of Montreal, to manage China's new corporate pension schemes. As these four financial groups become the first foreign interests (in joint ventures with Chinese companies) to manage China's corporate pension plans, they are well-positioned to tap into one of the word's fastest growing long-term savings markets. The new voluntary company pension scheme is similar to the 401k plan of the US, in which pension contributions are held in a pension fund governed by trust law.