Photo/Shetuwang

Dec. 20 (NBD) -- New York-based asset management giant BlackRock (NYSE: BLK), Singaporean investment company Temasek, and China Construction Bank ("CCB", 00939.HK) have entered into a non-binding agreement to form a joint venture (JV), news outlet China Securities Journal reported Friday citing people familiar with the matter.

According to the informed source, the JV will launch services such as investment management and consulting in China.

The parties involved have signed a memorandum of understanding and will further discuss the details of cooperation, and any deal would be subject to regulatory approval, the source disclosed.

National Business Daily noticed that this July, China announced a slew of measures to further open up its financial markets. Overseas financial institutions are encouraged to participate in setting up and investing in the asset management subsidiaries of commercial banks.

The new measures have facilitated foreign investment institutions' presence in the country. It's noted that J.P. Morgan Chase's majority-owned and controlled securities JV in China on Wednesday (December 19) was granted by Chinese regulator with a permit to commence business operations.

Email: lansuying@nbd.com.cn