FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Report of Foreign Private Issuer
Pursuant to Rule 13a - 16 or 15d - 16 of
the Securities Exchange Act of 1934
For the month of November 2005
HSBC Holdings plc
42nd Floor, 8 Canada
Square, London E14 5HQ, England
(Indicate by check mark whether the registrant files or will file annual
reports under cover of Form 20-F or Form 40-F).
Form 20-F X Form 40-F ......
(Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of
1934).
Yes....... No X
(If "Yes" is marked, indicate below the file number assigned to the registrant
in connection with Rule 12g3-2(b): 82- ..............)
HSBC RECEIVES APPROVAL FOR JOINT VENTURE
FUND MANAGEMENT COMPANY IN CHINA
HSBC Investments has obtained approval from the China Securities and Regulatory
Commission (CSRC) to establish a joint venture fund management company in China
with Shanxi Trust and Investment Corporation Limited (Jintrust).
The new company, to be named HSBC Jintrust Fund Management Company Limited, will
be headquartered in Shanghai and capitalised at RMB200 million (approximately
US$24.7 million). HSBC Investments will take up 49 per cent of the equity in the
new company for a consideration of RMB98 million (approximately US$12 million).
Jintrust will take the remaining 51 per cent in the joint venture company.
HSBC's consideration will be met by HSBC Group internal cash resources and
injected as capital into the joint venture company.
Blair Pickerell, Chief Executive Officer, Asia-Pacific at HSBC Investments,
said: "We have been working closely with Jintrust to put into place the
necessary groundwork to establish the new fund management company. It will be
operated to international standards, with the full backing of HSBC's
international asset management expertise and Jintrust's on-the-ground market
knowledge. We have a team in place already and expect to launch our first fund
under the new joint venture company in early 2006."
Yang Xiao Yong, Vice-Chairman of Shanxi Trust and Investment Corporation
Limited, added: "The fund management industry is a rapidly growing sector in
mainland China. By teaming up with one of the largest foreign players in
mainland China's financial markets and sharing a long-term goal of establishing
a well-managed, investor-focused fund management firm, we believe HSBC Jintrust
will become a significant player in this developing market."
Notes to editors
1. Shanxi Trust and Investment Corporation Limited (Jintrust)
Jintrust was established in 1985 by the Shanxi Provincial Government. It is the
largest non-bank financial institution in Shanxi Province, with assets of RMB7.5
billion at end-2004. Jintrust manages trust funds, has underwritten government
and corporate bonds and manages state-owned assets for its parent and for a
number of agencies in Shanxi.
2. HSBC Investments
HSBC Investments is the core global investment platform of HSBC which provides
investment solutions to personal and corporate investors. It meets client needs
by leveraging its in-house investment capabilities in active, quantitative and
structured investments or those of the best-of-breed managers in the market
through its multimanager capability. HSBC Investments and its affiliated
investment companies had funds under management of more than US$256 billion at
31 August 2005.
3. HSBC in mainland China
Established in Hong Kong and Shanghai in 1865, HSBC has had a continuous
presence in China for 140 years. Reflecting its long-term commitment to the
country, HSBC moved its China head office from Hong Kong to Shanghai in May
2000. HSBC has the largest branch network among foreign banks in mainland China,
comprising 12 branches in Beijing, Chengdu, Chongqing, Dalian, Guangzhou,
Qingdao, Shanghai, Shenzhen, Suzhou, Tianjin, Wuhan and Xiamen, and seven
sub-branches in Beijing, Guangzhou, Shanghai and Tianjin.
HSBC's investments in China include stakes in Bank of Shanghai (8 per cent),
Ping An Insurance (19.9 per cent), Bank of Communications (19.9 per cent) and a
joint-venture investment with Ping An in Ping An Bank (27 per cent).
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
HSBC Holdings plc
By:
Name: P A Stafford
Title: Assistant Group Secretary
Date: 01 November 2005