UBS Dials Back China Fund Plans on High Costs, Grim Outlook

Bloomberg04-23

(Bloomberg) -- UBS Group AG is postponing plans to build its own mutual fund business in mainland China due to high costs and a dim profit outlook, people familiar with the matter said. Most Read from...

Source Link

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap

Leave a comment

{"i18n":{"language":"en_US"},"isChannel":false,"data":{"share":"https://ttm.financial/m/news/2429337155?lang=en_US&edition=fundamental","thumbnail":"https://s.yimg.com/uu/api/res/1.2/WMa1DzFzJcfnwr6OwwE_1A--~B/aD0xMzM0O3c9MjAwMDthcHBpZD15dGFjaHlvbg--/https://media.zenfs.com/en/bloomberg_markets_842/684b0062853a86c987de4c0cabf7f4cb","is_english":true,"pubTime":"2024-04-23 13:27","share_image_url":"https://static.laohu8.com/5f26f4a48f9cb3e29be4d71d3ba8c038","id":"2429337155","market":"us","top_or_hot":-1,"title":"UBS Dials Back China Fund Plans on High Costs, Grim Outlook","media":"Bloomberg","content":"<div>\n<p>(Bloomberg) -- UBS Group AG is postponing plans to build its own mutual fund business in mainland China due to high costs and a dim profit outlook, people familiar with the matter said.\nMost Read from...</p>\n\n<a href=\"https://finance.yahoo.com/news/ubs-dials-back-china-fund-052750679.html\">Source Link</a>\n\n</div>\n","source":"yahoofinance","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>UBS Dials Back China Fund Plans on High Costs, Grim Outlook</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nUBS Dials Back China Fund Plans on High Costs, Grim Outlook\n</h2>\n\n<h4 class=\"meta\">\n\n\n2024-04-23 13:27 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://finance.yahoo.com/news/ubs-dials-back-china-fund-052750679.html><strong>Bloomberg</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>(Bloomberg) -- UBS Group AG is postponing plans to build its own mutual fund business in mainland China due to high costs and a dim profit outlook, people familiar with the matter said.\nMost Read from...</p>\n\n<a href=\"https://finance.yahoo.com/news/ubs-dials-back-china-fund-052750679.html\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK4581","symbol_name":"高盛持仓","start_time":0,"source_url":"https://finance.yahoo.com/news/ubs-dials-back-china-fund-052750679.html","article_id":"2429337155","we_media_id":null,"thumbnails":["https://s.yimg.com/uu/api/res/1.2/WMa1DzFzJcfnwr6OwwE_1A--~B/aD0xMzM0O3c9MjAwMDthcHBpZD15dGFjaHlvbg--/https://media.zenfs.com/en/bloomberg_markets_842/684b0062853a86c987de4c0cabf7f4cb"],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2429337155","pubTimestamp":1713850070,"sourceInfo":{"source_id":"yahoofinance","name":"雅虎金融"},"weMediaInfo":null,"summary":" -- UBS Group AG is postponing plans to build its own mutual fund business in mainland China due to high costs and a dim profit outlook, people familiar with the matter said.Trump Has Only $6.8 Million for Legal Fees With Trial Underway. Ray Dalio’s Famous Trade Is Sputtering, Investors Bailing. Stocks Climb as US Earnings Kick Into High Gear: Markets Wrap. Sea Billionaire’s Wife to Buy Singapore Mansion for $31 Million. UBS already owns 49% of a joint venture with State Development & Investment Corp., a government-backed money manager. The firm also holds a 20% stake that Credit Suisse held in a tie-up with Industrial & Commercial Bank of China Ltd., the nation’s biggest bank by assets. In addition, UBS has private fund management businesses targeting institutional and wealthy clients.UBS will let go about 15 of the 50 people on the asset management team over the next few months as part of the restructuring, the person said. The rest of the workforce w","collect":0,"end_time":0,"defaultTopTitle":"yahoo.com","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK4581":"高盛持仓","BK4504":"桥水持仓","LU0170899867.USD":"EASTSPRING INVESTMENTS WORLD VALUE EQUITY  \"A\" (USD) ACC","LU1668664300.SGD":"Blackrock World Financials A2 SGD-H","BK4127":"投资银行业与经纪业","LU1989772840.SGD":"CPR Invest - Climate Action A2 Acc SGD-H","LU0098860793.USD":"FRANKLIN INCOME \"A\" INC","IE0034235071.USD":"PINEBRIDGE EUROPE RESEARCH ENHANCED EQUITY \"A\" (USD) ACC","LU1989772923.USD":"CPR Invest - Climate Action A2 Acc USD-H","LU1162221912.USD":"FRANKLIN INCOME \"A\" (USD) ACC","LU0320765646.SGD":"FTIF - Franklin Income A MDIS SGD-H1","BK4585":"ETF&股票定投概念","BK4534":"瑞士信贷持仓","USB":"美国合众银行","IE00BZ1G4Q59.USD":"LEGG MASON CLEARBRIDGE US EQUITY SUSTAINABILITY LEADER \"A\"(USD) INC (A)","LU1363072403.SGD":"Fidelity Global Financial Services A-ACC-SGD","LU0106831901.USD":"贝莱德世界金融基金A2","BK4559":"巴菲特持仓","LU0971096721.USD":"富达环球金融服务 A","BK4588":"碎股","LU1074936037.SGD":"JPMorgan Funds - US Value A (acc) SGD","IE00BKVL7J92.USD":"Legg Mason ClearBridge - US Equity Sustainability Leaders A Acc USD","BK4118":"综合性资本市场","BK4207":"综合性银行","UBS":"瑞银"},"translate_title":"瑞银因成本高、前景黯淡而撤回中国基金计划","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"USB":1,"UBS":0.9},"content_text":"(Bloomberg) -- UBS Group AG is postponing plans to build its own mutual fund business in mainland China due to high costs and a dim profit outlook, people familiar with the matter said.\nMost Read from Bloomberg\n\nTrump Has Only $6.8 Million for Legal Fees With Trial Underway\nRay Dalio’s Famous Trade Is Sputtering, Investors Bailing\nStocks Climb as US Earnings Kick Into High Gear: Markets Wrap\nRussians Transform Dubai as They Flee Putin’s War: Photo Essay\nSea Billionaire’s Wife to Buy Singapore Mansion for $31 Million\n\nThe Swiss bank will instead rely on existing joint ventures to expand in China’s mutual fund industry following the acquisition of Credit Suisse last year, the people said, requesting not to be identified because the matter is private. \nEstablishing a wholly-owned fund management firm would require large capital commitments, while the chances of turning a profit in the near term remain low, the people said. The bank had been contemplating a stand-alone fund platform after China lifted foreign ownership restrictions in 2020. \nA media representative for the bank declined to comment.\nWith the shift, UBS is taking a more conservative approach compared with other Wall Street firms that have invested more money and resources to win a bigger slice of the 27 trillion yuan ($3.73 trillion) market. Morgan Stanley and JPMorgan Chase & Co. have taken 100% ownership of their mutual fund joint ventures to maintain better control, while BlackRock Inc. and Fidelity International chose to build a new wholly-owned business from scratch.\nAt the same time, global asset managers are increasingly emphasizing the need for profitability in China as many struggle to build market share against the nation’s domestic banking giants. UBS has also been consolidating functions and operations following the acquisition of Credit Suisse last year. \nUBS already owns 49% of a joint venture with State Development & Investment Corp., a government-backed money manager. The firm also holds a 20% stake that Credit Suisse held in a tie-up with Industrial & Commercial Bank of China Ltd., the nation’s biggest bank by assets. In addition, UBS has private fund management businesses targeting institutional and wealthy clients.\nUBS will use ICBC Credit Suisse Asset Management Co. as a beachhead for expansion. The ICBC venture posted a profit of 1.9 billion yuan last year, overseeing 1.7 trillion yuan in assets as of the end of December. The SDIC business generated 346 million yuan in net income, managing 348.6 billion yuan. \nSeparately, UBS is revamping its private fund management platform by closing the majority of the 11 outstanding equity and bond funds that were launched in China since 2016, according to one of the people. Clients affected by the downsizing can invest in offerings provided by other platforms.\nUBS will let go about 15 of the 50 people on the asset management team over the next few months as part of the restructuring, the person said. The rest of the workforce will focus on the fund of hedge funds business or a program known as the qualified domestic limited partnership, the person added. Reuters earlier reported the fund closures.\nThe Swiss bank will also take over Credit Suisse’s $400 million quota to invest Chinese clients’ money overseas under the QDLP program, according to people familiar. UBS has another $100 million quota, they added.\nMost Read from Bloomberg Businessweek\n\nHow a Massive Hack of Psychotherapy Records Revealed a Nation’s Secrets\nChina’s Bubble Tea Boom Creates a Half-Dozen Billionaires\nWhat Really Happens When You Trade In an iPhone at the Apple Store\nRents Are the Fed’s ‘Biggest Stumbling Block’ in Taming US Inflation\nThe Pentagon Wants to Give Defense Startups a Chance \n\n©2024 Bloomberg L.P.","kind":null,"is_publish_news":null,"is_publish_highlight":null,"is_publish_live":null,"is_publish_wemedia":null,"editions":null,"symbols":[],"gpt_button":1},"commentList":[],"isCommentEnd":true,"newsSizeData":{"likeSize":0,"commentSize":0,"repostSize":0,"favoriteSize":0,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.22.4","shortVersion":"4.22.4","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/2429337155"}