Bank of China International, a subsidiary of Bank of China International Holdings, has launched a private bank in Hong Kong, in a move which reflects the burgeoning ranks of affluent Chinese and a growing demand for wealth management services in the world’s most populous nation.

The Hong Kong private bank follows BOC’s launch of private banks in Beijing and Shanghai in 2007.

Bank of China International said in a statement that the Hong Kong launch makes it the first Chinese financial institution ever to offer wealth management services to high net worth clients in the city. The Hong Kong private bank serves clients with net assets exceeding $1 million.

In other recent developments, in September news emerged that BOC is raising money for 24 funds through Geneva-based BOC (Suisse) Fund Management - believed to be the first instance of a Chinese fund manager looking for business in western markets.

The bank has said that the funds include RMB-denominated investments in China as well as others in global markets and that half the funds are investing in equities, the rest in bonds.