JPMorgan Chase and Nomura Holdings Inc. have received approval to set up new securities joint ventures in China with majority foreign ownership, as regulators followed through on a promise to open up the country’s financial markets, said Caixin.
China’s securities regulator gave the green light for two new securities joint ventures, Nomura Oriental International Securities Co. Ltd. and JPMorgan Chase Securities (China) Co. Ltd., both companies with 51% foreign ownership, according to China Securities Regulatory Commission (CSRC).
The JPMorgan-Nomura announcement marked the first approvals of newly-established brokerages with majority foreign ownership in China.
Both new ventures will be Shanghai-based, with Nomura registering RMB 2 billion ($300 million) of capital in partnership with Shanghai Orient International Co. Ltd. and Shanghai Huangpu Investment Co. Ltd. and JPMorgan with RMB 800 million of registered capital.