China's BoCom eyes insurance business this yr-exec

SHANGHAI Aug 12 (Reuters) - Bank of Communications (BoCom) (3328.HK) (601328.SS), China's fifth-biggest lender, expects to start its insurance business this year, Vice President Dicky Yip said on Wednesday. Yip, however, declined to provide details of the plan on the sidelines of a press briefing in Shanghai.

BoCom plans to buy a stake in China Life-CMG Insurance Co, a venture between China Life Insurance Co Ltd (2628.HK) and Commonwealth Bank of Australia (CBA.AX), official media have reported.

Chinese lenders have been eager to expand into non-banking financial businesses to diversify revenue streams. BoCom already owns a leasing unit, a trust subsidiary and a fund venture with Schroders Plc (SDR.L), and is also seeking a brokerage licence.

As part of efforts to strengthen consumer banking, BoCom rolled out OTO wealth-management services three years ago targeting wealthy clients.

The OTO service will be expanded to about 400 banking outlets by the end of this year, from 370 currently, Yip told reporters at the conference. (US$1=6.832 Yuan)