Deutsche Bank (XETRA:DBKGn.DE / NYSE:DB) today announced that its Asset Management division has increased its stake in leading China funds management company, Harvest Fund Management Co. Ltd, to 30% ownership, for an undisclosed price.
The stake increase has received formal approval from the China Securities Regulatory Commission (CSRC).
Deutsche Bank’s Asset Management division acquired its initial 19.5% shareholding in Harvest Fund Management Co. Ltd in March 2005 – creating the largest foreign joint venture fund management company in China.
Colin Grassie CEO, Deutsche Bank, Asia Pacific said, “This further investment is testament to the success of our partnership with Harvest, and also Deutsche Bank’s commitment to growing its business in one of the world’s most dynamic markets.”
Ed Peter, Head of Deutsche Asset Management, Asia Pacific and MENA said, “Ours is more than a financial partnership with Harvest – it’s a true strategic relationship with both organisations successfully leveraging the strengths of each respective firm. For example, we have established a global talent exchange program between our organisations. We have also worked closely together on investment management co-operation, including the first stock-oriented QDII fund issued by a joint venture fund firm which utilises the global investment experience of its foreign investor.”
With over RMB 252 billion (EUR 23.5 billion) of assets under management as of 31 December 2007, Harvest Fund Management was ranked #3 by total market share (source: Z-Ben, January 2008) in the Chinese asset management industry and the #1 sino-foreign fund manager. The product range includes a comprehensive lineup of mutual funds and asset management businesses. This includes 2 close-ended funds, 13 open-ended funds, several social security funds and corporate pension fund accounts. Harvest employs 309 staff, including experienced investment, research and market service teams.
Deutsche Bank commenced business in China in 1872 and became locally incorporated in China in January 2008. The bank participates strongly in the country in cross border investment banking; sales and trading activity; transaction banking and trade services; private wealth management; and private and business banking through retail branches in Shanghai and Beijing. Deutsche Bank also has a 9.9% shareholding in Huaxia Bank.
This release also contains forward-looking statements. Forward-looking statements are statements that are not historical facts; they include statements about our beliefs and expectations and the assumptions underlying them. These statements are based on plans, estimates and projections as they are currently available to the management of Deutsche Bank. Forward-looking statements therefore speak only as of the date they are made, and we undertake no obligation to update publicly any of them in light of new information or future events.
By their very nature, forward-looking statements involve risks and uncertainties. A number of important factors could therefore cause actual results to differ materially from those contained in any forward-looking statement. Such factors include the conditions in the financial markets in Germany, in Europe, in the United States and elsewhere from which we derive a substantial portion of our trading revenues, potential defaults of borrowers or trading counterparties, the implementation of our management agenda, the reliability of our risk management policies, procedures and methods, and other risks referenced in our filings with the U.S. Securities and Exchange Commission. Such factors are described in detail in our SEC Form 20-F of 27 March 2007 on pages 9 through 15 under the heading "Risk Factors." Copies of this document are readily available upon request or can be downloaded from www.deutsche-bank.com/ir .