Swiss group Pictet opens Shanghai unit to tap China's fund market

FILE PHOTO: A sign bearing the logo of family owned private bank Pictet is pictured at the company headquarters in Geneva May 7, 2012. REUTERS/Denis Balibouse

SHANGHAI (Reuters) - Geneva-based Pictet Group’s asset management arm announced the opening of its Shanghai subsidiary on Monday, becoming the latest global money manager to tap China’s fast-growing fund market.

Pictet Asset Management plans to start its Chinese onshore operations by raising Chinese money for overseas investment, before gradually developing local investment capabilities, the company said in a statement.

“The expansion into China represents a significant milestone in the 215-year history of Pictet,” said Renaud de Planta, senior partner of the Pictet Group.

Undeterred by the COVID-19 pandemic that has hammered cross-border travel, foreign asset managers including PIMCO, Baillie Gifford and Russell Investment have registered with the Asset Management Association of China this year, preparing to launch private funds locally.

In addition, global players including BlackRock, Fidelity International and AllianceBernstein have also applied to set up wholly-owned mutual fund units in China, after Beijing scrapped foreign ownership restrictions in the sector on April 1.

(This story refiles to fix spelling of Pictet in paragraph 2)

Reporting by Samuel Shen and Andrew Galbraith; Editing by Rashmi Aich