Watch Your Assets
Black Rock is finally cleared to roll into China's burgeoning wealth management space. We've mentioned their mutual fund aspirations here previously, too. Then again, just yesterday we mentioned average disposable income in China is under $5k.
So why are not only Blackrock, but other heavies such as Schroders and JP Morgan, pushing through their WM applications like Harvard Class of '26 hopefuls?
Once again, we must mention the prime metric - 3%. "That's the percentage of market penetration for true wealth management in China, according to our friends at Singapore's Raffles Family Office," says Jimmie Jeremejev. "Technically, there are close to $4 trillion-worth of wealth management products in China. But that's like mom saying there's plenty of food at home to eat when you want McDonald's. China's wealthy demand more sophisticated, less hands-on products and services. And it's not just Blackrock, but plenty of mid-tier firms who will be in demand to provide diversity in the space."