MAS names sustainability head; Malaysia’s EPF appoints COO and CFO; GIC PE head for SEA leaves; State Super hires new exec; Hesta appoints chief growth officer, chief Debby Blakey appointed to corporate governance board; ex-BlackRock exec joins IQ-EQ in Singapore; HSBC AM builds direct real estate team; ex-Vanguard head of distribution joins LGIM; Sanne names Singapore head; and more
This is the latest development to follow on AprilÆs release of ôRegulation on overseas investment for trust companiesö. Compared to requirements for banks, insurance companies, securities firms and fund houses that have received QDII licenses to develop overseas investments products in the past, requirements for trust companies are higher. Registered capital for the trust companies is required to be above RMB1 billion, total AUM should exceed RMB10 billion, and their balance sheets must show positive growth in the past two years.
Two companies, Citic Trust and Sitico (Shanghai International Trust and Investment), have already received the so-called ætrial-licenseÆ in last September, as a testing point before the regulator issue official guideline. This brings more players on top of the latest entrants in fund houses and securities firms. Fortune SGAM, a joint venture of Societe Generale, and Citic Securities, China Merchants Securities, Guotai Junan Securities and China International Capital are some of the latest license recipients.
There are 54 registered trust companies in China managing a total of RMB6 trillion ($797 billion) across the country. The total number of fund houses has also recently increased from 58 to 62. There are also 104 securities firms gearing up to offer QDII services on a segregated accounts basis.
Not every trust company or brokerage will be granted a QDII license; the capital requirements can be onerous. But the ranks are growing, providing more opportunities for partnerships with foreign investment banks and fund management companies looking to enter this market.
Kwap property arm appoints CEO; VFMC names new CEO as Lisa Gray retires; MSIG Singapore promotes Mack Eng as CEO; Monroe Capital opens first Asia office in Seoul, hires head from Aberdeen; Vanguard Australia appoints new MD to relocate from US; HSBC AM expands EM debt team; Vantage FX hires from CGS-CIMB in Singapore; and more.
Financials and healthcare have been spotted as promising sectors, while several tech IPOs are on the way, including a $2.2 billion fintech firm and a GIC-backed e-commerce startup.
A strong recovery in the Asia Pacific private capital markets in 2021 sets up favourable hiring and compensation trends.
The $95 billion Korean savings will set up a separately managed account for real estate debt investment early next year in order to shorten decision-making and help it win deals in a crowded market.