Jing Ji Guan Cha Bao·2025-07-03 12:34Core Viewpoint - China Merchants Bank (CMB) has received approval from the National Financial Regulatory Administration to establish a financial asset investment company (AIC) with a registered capital of 15 billion yuan, marking a significant step in the competitive landscape of financial asset investment among joint-stock banks [1][4]. Group 1: Company Developments - CMB's AIC will have a registered capital of 15 billion yuan, surpassing the 10 billion yuan capital of both Industrial Bank and CITIC Bank, indicating CMB's strategic ambition in this sector [2]. - The AIC will primarily engage in market-oriented debt-to-equity swaps and equity investment, aiming to provide comprehensive financing support for enterprises and enhance CMB's diversified operational capabilities [2][5]. - CMB plans to focus its AIC on three key areas: technology innovation enterprises, green low-carbon industries, and the Guangdong-Hong Kong-Macao Greater Bay Area development [2][6]. Group 2: Industry Context - The establishment of AICs by joint-stock banks represents a shift in China's financial landscape, moving from indirect to direct financing, and reflects the evolving role of commercial banks in comprehensive operations [6][7]. - The approval of AICs for joint-stock banks is expected to enhance their professional capabilities in equity investment and optimize corporate leverage structures, contributing to the overall financial ecosystem [5][6]. - The competitive landscape is likely to intensify, with state-owned banks continuing to dominate large state-owned enterprise projects while joint-stock banks may focus on small and medium-sized enterprises and niche industries [6][7].