Domestic Banks Dominate China Wealth Management - Report

Lachlan Colquhoun

15 May 2007

China's wealth managers are ramping up their offerings with figures showing that twenty-six domestic and foreign banks launched 23.78 billion yuan ($2.9 billion) worth of product in Shanghai in the first quarter of this year. A statement from the Shanghai branch of the China Banking Regulatory Commission said the outstanding balance of personal wealth products reached 62 billion yuan to the end of March, up 4.67 per cent so far in 2007. Domestic banks have a 68 per cent share of the yuan-denominated product market, but that is expected to come under pressure from foreign banks which were only last month allowed to compete for yuan business.