Aerial photo taken on June 21, 2018 shows morning view of the Lujiazui area in Pudong of Shanghai, east China. (Photo: Xinhua)
A J.P. Morgan executive expressed confidence in his company's new business venture in China as the country has promised to remove the foreign ownership caps on brokerages, futures dealers and life insurers by 2020.
BEIJING, Aug. 18 (Xinhua) -- The greater opening-up of China's financial markets boosts the confidence of global investors, who have become increasingly interested in the markets, said a J.P. Morgan executive in an interview with Xinhua.
"We are confident about our development here," said Houston Huang, China head of global investment banking with J.P. Morgan.
The U.S. financial giant is working with China's regulators and relevant parties to push for the establishment of its new majority-controlled securities company in China, according to Huang.
The new firm, the J.P. Morgan Securities (China) Company Ltd., came amid China's efforts to further open up its economy as it allowed 51-percent ownership of foreign firms in their brokerage ventures, up from the previous 49 percent.
The country has also promised to remove the foreign ownership caps on brokerages, futures dealers and life insurers by 2020, a year ahead of the previous plan.
The new company would allow J.P. Morgan to strengthen its onshore platform and further tap into the Chinese market, he said, noting that the new brokerage plans to participate in China's capital market, including the sci-tech innovation board, which is commonly known as STAR Market of Shanghai Stock Exchange.
Calling the STAR Market a crucial move, Huang said it would offer more options for tech firms to list and raise funds, while playing an important role in promoting technological innovation and market-oriented reform of the country's capital market.
Looking ahead, Huang said diversified capital and companies should be invited to participate in the market, including overseas tech firms acquired by Chinese businesses over the past decade and foreign-controlled enterprises.