New synergy between Australia-China cooperation in financial services sector in 2025 ??

Cooperation synergies in financial services

There are potential business opportunities in 2025 and onwards, particularly in the sectors of pension funds, REIT investment, family offices, and asset management between Australia and China. From October 23 to 26, 2024, a delegation from Shenzhen, organized by the Shenzhen Asset Management Association (SZAMA), visited Australia to engage in learning, explore business cooperation, and communicate directly with Australian pension funds, REITs, asset management, and financial services platforms in Sydney and Melbourne.

The SZAMA is recognized as the preeminent professional association for asset management in the Shenzhen region and throughout the Greater Bay Area. It is entrusted with the responsibility of self-regulating the investment fund industry, fostering industry innovation, and promoting international engagement. The collective assets under management by its members currently stand at an estimated USD $2.06 trillion.

I have contributed to the first SZAMA Mission to Australia (after the pandemic) by helping to organize two networking sessions—one in Sydney and one in Melbourne. During these activities, key stakeholders from Australia and China in the asset management, investment, and pension fund sectors gathered to discuss Australian pension fund and market trends, REITs, asset management, investment strategies, and potential cooperation opportunities.

Key Benefits of Australia-China Cooperation:

  1. Diversification: Australia’s pension funds, among the largest in the world, are actively seeking diversification. Investing in China can provide these funds access to high-growth assets, especially in sectors like technology, healthcare, and infrastructure, where China is rapidly expanding.
  2. Best Practices: Australia has a well-regarded asset management sector with high regulatory standards. Chinese investors and asset managers could benefit from Australia’s best practices.
  3. Retirement Solutions: As China’s population ages, its demand for retirement planning and pension solutions is growing. Australian pension funds and service providers have decades of experience that can be leveraged to design and manage pension systems.

Cooperation between Australia and China in financial services in 2025 presents significant growth opportunities, especially given the rising demand for financial expertise and retirement solutions in China. However, it is not without risks—mainly regulatory unpredictability, political tensions, and market-specific vulnerabilities. For successful cooperation, both sides need to prioritize transparency, regulatory alignment, and mutual respect for operational standards.

If you are interested in learning more about Australia-China financial services cooperation opportunities, synergies, and risks, please write an email to:

Joseph Tse
Vice President (Venture Incubator & Business Growth)
副总裁 (风险投资孵化器与业务增长)
Email: [email protected]

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