Home   News   Features   Interviews   Magazine Archive   Industry Awards  
Subscribe
Securites Lending Times logo
Leading the Way

Global Asset Servicing News and Commentary
≔ Menu
Securites Lending Times logo
Leading the Way

Global Asset Servicing News and Commentary
News by section
Subscribe
⨂ Close
  1. Home
  2. Latest news
  3. Standard Chartered implements domestic mutual fund custody in China
Latest news
Standard Chartered implements domestic mutual fund custody in China
10 June 2021 China
Reporter: Maddie Saghir

Image: William/adobe.stock.com
Standard Chartered Bank (China) has successfully closed a mutual fund custody deal following its wholly foreign-owned enterprise (WFOE) private fund custody deal in January 2021.

This makes Standard Chartered the first foreign bank to execute deals in these two focused segments.

Standard Chartered explains that China’s $3 trillion mutual fund market has long been a key segment that is highly prioritised by the domestic custodial industry, subject to the most stringent local regulations and quality standards and dominated by the few local big banks.

The opening up of the market to international custodians has since created more options for domestic mutual and private funds.

With their overseas roots, WFOE fund managers are often seen as another business focus for foreign banks that have received or are applying for a local fund custody license.

According to the bank, this is because WFOE can tap on the extended operating model of the international custodian for ease of set-up and navigation in China.

Margaret Harwood-Jones, co-head of financing and securities services, Standard Chartered, says: “With the increasing capital flow between China and other international markets, the successful execution of these deals further demonstrates the strength of our differentiated proposition — one that combines the bank’s global network with our longstanding local custody experience to support our clients as they expand their business proposition to China.”

Harwood-Jones adds: “We look forward to deepening our role as a connector bank for global institutions looking to enter the Chinese market.”
NO FEE, NO RISK
100% ON RETURNS If you invest in only one asset servicing news source this year, make sure it is your free subscription to Asset Servicing Times
Advertisement
Subscribe today