China to scrap foreign ownership cap for firms managing US$2.9 trillion in insurers’ assets

In a boost for overseas insurance companies, China is set to scrap a cap on foreign ownership of insurance asset management companies under draft rules announced on Friday.

The China Banking and Insurance Regulatory Commission (CBIRC) will scrap a 25 per cent foreign ownership cap for such companies, paving the way for foreign investors to raise their stakes to 100 per cent and assume control. The regulator said it would collect public opinion on the rule change for a month.