Aberdeen to open full Shanghai office
Aberdeen Asset Management looks to be the first UK fund manager to operate in China.
Aberdeen Asset Management
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17:09 11/08/17
Financial Services
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17:09 19/04/24
FTSE 100
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FTSE 350
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FTSE All-Share
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Sky News reports that Aberdeen will sign a deal this week as part of Chancellor of the Exchequer George Osborne’s tour of China.
The news comes only weeks after turmoil in Shanghai's stock markets affected world markets.
Treasury sources told Sky News that Aberdeen's business in China would become incorporated as a Wholly Foreign-Owned Enterprise, which will give the British company a more robust platform to grow its presence in the east.
It is expected the FTSE 100 company will open a full office in Shanghai and will gain greater freedom to publish research on companies listed on the China’s equity markets.
The deal is due to be signed on Tuesday according to a source.
However, the markets aren’t budding with confidence, with shares dropping 4.75p to 326.30p at 1214 BST – a drop of 1.46%.
The British fund manager’s exposure to emerging markets has spooked investors in recent months, with net outflows reflecting a desire to divert assets to developed world economies.