Vanguard Group Gives up on China Business
Posted on 03/21/2023
U.S. indexing giant Vanguard Group decided to close its remaining business in China after a retreat two years ago. Vanguard had a challenging time to break ground in mainland China. Vanguard informed the Chinese government of intentions to shutter its unit in Shanghai. Vanguard also has plans to exit its robo financial advisory joint venture with Ant Group. Vanguard has a 49% stake in the JV owned by Jack Ma-founded Ant Group. Vanguard was attracted to the widely used platform called Alipay.
Vanguard opened its Shanghai office in 2017.
This is occurring as other asset managers are increasing their presence in China such as BlackRock Inc. and Fidelity International.
Keywords: Ant Financial Services Group, Vanguard Investment Management (Shanghai) Limited.