AMP will take a 15% stake in its new joint-venture with China Life, with the insurance company owning the rest. The JV may eventually apply for QFII quota.
AMP Limited's CEO-in-waiting, Craig Meller, is prioritising growth in China in a drive to turn around its investment management arm's shrinking AUM in Asia following a rout in Japan.
Aussie fund manger AMP Capital and China Life joined forces and will set up a fund management company. Analysts say the insurer/fund manager partnership will be fruitful.
Write-downs have cost China Life, Ping An and China Pacific Rmb30 billion ($4.4 billion) this year, not withstanding mark-to-market and foreign exchange losses.
Eventually China Life Franklin Asset Management may manage third-party assets in many asset classes, but the investment teamÆs mission is now to build a track record.