China ESG - Weekly news update Sep 2020 / 01

China's second foreign-owned wealth management company approved by CBIRC

BlackRock Jianxin Wealth Management Co., Ltd. has recently been approved by the China Banking and Insurance Regulatory Commission  (CBIRC). BlackRock Jianxin Wealth Management is established jointly by BlackRock, Singapore Fuller Financial Holdings and China CCB Wealth Management. It has become the second foreign-controlled financial management company in China. 

Source: Insights & Mandate

Aberdeen Standard and BMO launch China and Asia ESG funds 

Aberdeen Standard Investments (ASI) and BMO Global Asset Management have both announced the launch of two funds with environmental, social and governance (ESG) criteria today. ASI is rolling out the Asian Sustainable Development Equity fund, set to target quality Asian companies that meet the United Nations’ Sustainable Development Goals (SDGs). Separately, BMO has launched an ESG fund that will seek equity opportunities in China’s mainland markets.  

Source: Wealth Manager 

BMO GAM hands outperformer sustainability-focused A-shares fund 

BMO Global Asset Management has launched a responsibility-focused China A-shares equity strategy. The fund, which is formally called the BMO LGM Responsible China A-Shares Equity fund, is managed by BMO GAM’s emerging markets equity specialist team, LGM Investments, who will work closely with BMO GAM’s Responsible Investment team. BMO GAM said the new fund provides investors with the opportunity for active, fundamental management in the domestic Chinese equities, allowing foreign investors access to a larger and more diverse pool of companies in China.  

Source: City Wire Selector 

JPMAM's US$1B China JV buyout price an 'expensive deal' 

J.P. Morgan Asset Management’s Chinese fund joint venture partner has officially auctioned off its holdings, allowing the U.S. firm to finally bid to fully acquire the business. But the confirmed price of the transaction is considered expensive when compared with the valuation of top domestic and global asset managers. Shanghai International Trust, which currently owns 49% of China International Fund Management (CIFM), its fund management joint venture with JPMAM, has opened the auction for all of its holdings at Rmb7 billion (US$1.01 billion). Considering that CIFM pocketed Rmb290 million in 2019 full-year net profit, the entity's price-to-earnings ratio reaches 50 times.  

Source: Ignites Asia

TDCC launches new ESG dashboard 

Taiwan Depository & Clearing Corporation (TDCC), has launched a new solution, the Taiwan ESG Dashboard, to help issuers and investors access ESG ratings of companies in Taiwan. The Taiwan ESG Dashboard will enable issuers to effectively manage their ESG ratings and empower local institutions to engage on ESG issues, by providing them a consolidated channel to access ratings from leading ESG rating providers.