China Merchants Bank (CMB) and J.P. Morgan Asset Management (JPMAM) have jointly announced a strategic partnership following the recent launch of CMB Wealth Management (CMBWM), CMB’s asset management subsidiary.
Under the partnership, JPMAM will be a preferred product provider to CMBWM, offering access to its offshore and onshore solutions that are complementary to CMB’s investment capability. The two firms will collaborate closely on product development, investor education and addressing emerging opportunities in the industry. Additionally, CMB and JPMAM will explore a fintech partnership.
China’s banks are establishing wealth management subsidiaries in response to recent reforms, creating exciting opportunities. Collaboration between banks and foreign asset managers on the design and management of investment product mandates will help bring together global investment concepts and controls to enrich onshore asset management market development
“I have a firm belief that the differentiated competitive advantages of both firms will lay the foundation for a successful collaboration, not only broadening CMB’s international horizon but also enabling JPMAM to deepen their presence in the China market. With JPMAM’s support to enhance our market competitiveness, we are even better positioned to serve clients needs in wealth management and support the development of China’s real economy,” comments Liu Hui, executive assistant president of CMB and chairman of CMBWM.
Wang Tao, Chief Executive Officer of CMBWM, adds, “Having evolved from CMB’s asset management business, we have been dedicated to China’s domestic market for over 16 years, aiming to become a domestic leading, international first-class and all-round asset management institution. In the initial stage of this strategic partnership, we will work with CMB and JPMAM on knowledge sharing, product access and product development, based on mutual respect.”
“We are excited about the collaboration with CMB, one of the leading banks in China. It is complementary to our existing onshore business and is aligned to our long-term commitment to investing in the growth of China’s asset management industry,” says Dan Watkins, Chief Executive Officer, Asia Pacific, J.P. Morgan Asset Management.