US-based Goldman Sachs Group Group Inc has secured approval to offer wealth services in China via a joint venture with the Industrial and Commercial Bank of China (ICBC), according to an ICBC announcement.
Approval from the China Banking and Insurance Regulatory Commission (CBIRC) comes as the world’s second-largest economy begins to allow more outside companies into its huge and still fast-growing financial services sector, although generally only in collaboration with domestic banks.
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Goldman Sachs ICBC Wealth Management was established May 2021, 51% held by Goldman and 49% by ICBC. The company now has authorization to begin offering a range of investment products in China, including quantitative investment strategies.
ICBC said it will “push forward” the joint venture “in strict compliance with laws, regulations and regulatory requirements.” Goldman holds a 7% stake in ICBC following a 2006 deal.
- Reuters, with editing by Neal McGrath
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