While generally positive on the opportunities in Asia’s high-yield credit market, fund managers do have concerns, not least about the risks of CNH bonds.
This aggressive expansion into fund management may give PICC a head-start over rival mainland insurers China Life and Ping An.
The partnership involves Ping An buying a 50% stake in Value Partners' Sensible Asset Management Hong Kong.
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.
Reports in other media of Pearce’s departure from Shenzhen-based Ping An Group are pure rumour.
Li Kenan has resigned from First State Cinda to be reunited with ex-CEO of Colonial First State John Pearce in the Ping An Group.
The Chinese insurance company pays $3.32 billion for the stake in Fortis's asset management subsidiary, gaining access to a business with $378 billion of assets under management.
The Chinese insurer pays $2.65 billion to become the largest shareholder in Fortis in a deal which both parties are calling highly synergistic.
PingAn Group's CIO says Value Partners will be a preferred product provider for its QDII funds, adding he is comfortable with Hong Kong’s outlook in 2008.
Pending regulatory approval, Mercer is building the first retail multi-management platform in China.
David Fried takes over the regional business as CF Choy focuses on the mainland.