China's Ping An, UOB in Fund Venture

The securities unit of Ping An Insurance (Group) Co, China's No. 2 insurer, is planning a fund management venture with Singapore-based UOB Asset Management, the China Daily reported on Friday.

The newspaper quoted an unnamed source at Ping An Securities as saying the plan has been in the works for a long time but had still not been submitted to regulators for approval.

The report comes after United Overseas Bank, Singapore's second-largest lender, last month set up a locally incorporated bank in China.

A consortium led by Ping An Group invested nearly $2.2 billion last month in an express railway link between Beijing and Shanghai, marking the first major infrastructure investment by a group of Chinese insurers.

The mainland's insurance industry is moving to broaden its business activities to secure higher returns in the face of mounting policy obligations. (US$=7.3 yuan)