Julius Baer took a stake in Grow Investment Group, entering the onshore Chinese market for the first time.
Grow Investment Group was founded in June 2021 in Shanghai and is a China-based national asset management company that aims to be a China-focused next-generation asset management company.
Julius Baer will allocate a low double-digit capital investment of $1 million to the company and the partners will jointly establish a distribution network.
National Grow customers will have access to select offerings from Julius Baer through qualified National Limited Partnership products.
Meanwhile, Julius Baer’s international clients will have access to local investment expertise and assets through products from qualified foreign institutional investors.
Commenting on the partnership, David Shick, Head of Greater China at Julius Baer, said: “We believe the opportunities in the sector in China are bright, and we look forward to gaining visibility and bringing our best solutions in their class. and expertise to Chinese customers.
William Ma, Global CIO of Grow, added, “I believe there are significant untapped opportunities for us in onshore China and I look forward to growing our business with Julius Baer.”
The partnership was forged at a time when Julius Baer was unwinding its stakes in some of its subsidiaries. This includes the sale of 50% of the Mexican wealth manager NSC Asesores and the acquisition of the Geneva wealth manager Fransad Gestion by its management.
In the latest round of earnings, Julius Baer CEO Philipp Rickenbacher said the sales were mainly to independent asset management companies and were driven by the lack of anticipated consolidation in the Swiss market.