Some foreign fund managers who have set up joint ventures with mainland Chinese asset management companies are having second thoughts, according to a report in Monday’s FTfm.
A survey by PwC of 29 groups that have set up ventures with Chinese partners found eight were expecting zero revenue growth in 2011. (Rules stipulate foreign asset managers can only do direct business in mainland China through a minority stake in a joint venture with a Chinese partner.)
China will be in the spotlight this week as the Global Economic Leaders Summit and the International Fair for Trade and Investment get under way. There will also be plenty of economic data for investors to pore over. Brazil’s inflation figures will be of particular interest especially following Wednesday’s surprise rate cut by the Brazilian central bank.