The China Life AMP Money Market Fund invests in a range of short-term investments such as liquid short-term bonds and cash deposits on behalf of both retail and institutional customers. The minimum investment for investors is RMB1,000. The fund raised RMB11.9 billion (A$2.2 billion) from its initial public offering period earlier this month, highlighting the opportunity in the Chinese market.

AMP Capital Chief Executive Officer Stephen Dunne said: “The launch of China Life AMP Asset Management late last year represented a great step forward for AMP Capital in Asia, one of our key markets. I’m delighted that through the dedication of the joint venture team, we’ve been able to bring the China Life AMP Money Market Fund to Chinese investors just months after the joint venture was incorporated. This shows the commitment both organisations have to making it a success.

“The China Life AMP Money Market Fund analyses macroeconomic factors, monetary policy and credit supply to make a judgement on the trend of the yield curve while taking into consideration liquidity and the risk profile of different instruments. It will appeal to investors who are looking for both yield and liquidity. We are very pleased with the level of support we’ve seen and look forward to providing Chinese domestic investors with additional investment products down the track.”

The rapid growth of wealth management in China presents significant opportunities for funds management. Total assets under management in the mutual fund industry in China reached A$0.8 trillion in 2013, according to the Asset Management Association of China, and is expected to grow at 15 per cent per annum to reach A$1.6 trillion in 2017.

AMP Capital holds a 15 per cent stake in the joint venture while China Life Asset Management Company Limited holds the rest. It is China Life’s first joint venture in mainland China with a foreign partner in funds management.

China Life AMP Asset Management Company Limited will offer retail and institutional investors in China access to leading investment solutions initially in domestic listed equities and fixed income and benefits from being the most highly capitalised funds management company in mainland China.

AMP and China Life Insurance (Group) Company, China’s largest insurer, have had a formal relationship for nearly eight years and signed a Memorandum of Understanding for Strategic Cooperation in August 2009.

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