Bocomm Life approved to set up asset management arm

Bocomm Life Insurance announced on Friday that it has received approval from the top industry regulator to establish a wholly-owned subsidiary for asset management.

With registered capital of 100 million yuan (US$15 million), Bocomm Life Asset Management Co Ltd aims to enhance the professional level of the utilization of insurance funds, broaden relevant channels and further improve the insurer's asset management capabilities, Bocomm Life said.

As the sole shareholder of the asset manager, Bocomm Life was incorporated in 2010 and is a joint venture between the Commonwealth Bank of Australia, Australia’s largest bank, and the Bank of Communications, China’s fifth largest state-owned commercial lender.

As China is carrying on a new round of reform and opening-up of its financial sector, the life insurer said that the establishment of an asset management arm will effectively enhance its competitiveness in the market and better serve the real economy with insurance funds.