Morley to form joint venture in China

Morley has formed a fund management joint venture in China with China National Oils, Foodstuffs and Cereals Corporation (COFCO).

The agreement was announced today at the official opening of Morley's Shanghai representative office.

Founded in 1952, COFCO is one of China's largest state-owned enterprises and one of the top 500 companies worldwide rated by Fortune magazine. COFCO operates in the insurance, real estate and futures brokerage industries, as well as being one of China's leading importers and exporters of grain and oilseeds.

“We plan to use this joint venture as a platform for developing a substantial business in China, where the asset management sector has grown significantly as a result of overall economic growth and the liberalising policies of the government.

Morley chief executive Alain Dromer

Morley's parent Aviva has had a life insurance joint venture with COFCO since 2003. The Aviva-COFCO joint venture is ranked fourth in premium terms among 25 foreign joint venture life insurers in China, where it has businesses across 21 cities. In 2004, the joint venture became the first foreign-funded insurance company in China to issue group life insurance policies.

Morley chief executive Alain Dromer commented: "We plan to use this joint venture as a platform for developing a substantial business in China, where the asset management sector has grown significantly as a result of overall economic growth and the liberalising policies of the government."

"Today's news is a further step in the development of our long-held ambitions in China, driven by both support for our parent company, Aviva, and the opportunities for our own profitable growth," Morley chief operating officer Nick Alford said.