China Universal Asset Management (CUAM) and Azimut Group (Azimut) signed a Memorandum of Understanding on 11 December in Abu Dhabi to further explore the establishment of ETF links between the Chinese and international markets.
The signing of the MoU was jointly witnessed by the Shanghai Stock Exchange (SSE) and the Abu Dhabi Securities Exchange (ADX).
In recent years, ties between China and the UAE have strengthened steadily, with deepening collaboration across various fields yielding fruitful results. On the 40th anniversary of diplomatic relations between China and the UAE, the financial industries of China and UAE are working together to establish practical cooperation and drive innovative development.
This joint effort seeks to improve bilateral financial services, promote high-level financial collaboration, and contribute to the Belt and Road Initiative.
Against this backdrop, CUAM and Azimut are committed to a shared vision of serving global long-term capital and supporting the high-quality development of capital markets in both China and the UAE.
Together, they aim to explore the establishment of a “China-UAE ETF Link” between the SSE and ADX, deepening economic and financial collaboration between China and the UAE.
This initiative will provide new support for the development of Shanghai and Abu Dhabi as international financial centers and the advancement of the China-UAE community with a shared future. The two parties also agreed to further their cooperation in more potential global ETF link regions.
Under the MoU, Azimut plans to launch an ETF on ADX that will invest in CUAM’s CSI A500 Index ETF listed on SSE. Azimut aspires to become the first overseas asset manager to invest in the CSI A500 Index through the ETF link. Meanwhile, CUAM intends to launch an ETF on SSE that will invest in Azimut’s ETF on ADX, which will track indices related to the S&P Pan Arab region. This initiative aims to enable Chinese investors to access the top-performing listed companies across the Middle East, with the UAE as a gateway.
China Universal Asset Management is one of China's leading large-scale asset management groups, managing over RMB 1.1 trillion in assets across more than 330 mutual funds. Its business encompasses seven segments: mutual funds, private asset management, private equity, pensions, e-commerce, international business, and fund advisory. With subsidiaries in Hong Kong, Shanghai, the United States, and Singapore, China Universal Asset Management is lauded as an “expert stock picker.”
CUAM general manager Zhang Hui (pictured below) stated: “China's economy demonstrates strong resilience, vast potential, and robust vitality. As Chinese indices become increasingly attractive, China Universal Asset Management is committed to building a sustainable and dynamic index product line, creating a bridge for global investors to conveniently invest in China.
"We are also optimistic about the growth prospects of the UAE and the Middle East and hope to seize this opportunity to collaborate with Azimut Group to enhance investment management and product services in these regions and beyond, unlocking more investment opportunities for our clients.”
Azimut Group was founded in Europe in 1989 and listed on the Milan Stock Exchange in 2004. A component of the Euro Stoxx 600 Index, Azimut represents one of the largest 600 listed companies in Europe. With operations spanning 19 countries and regions worldwide, Azimut manages over RMB 850 billion in assets. Since 2011, Azimut has been actively operating in mainland China.
Giorgio Medda (pictured below), CEO of Azimut, stated: “We are excited to be part of this project to bring together the two important financial centers of Abu Dhabi and Shanghai.
"In all the 19 countries and regions we operate in around the world, our mission is to bring our clients innovative and rewarding products and we believe the China-UAE ETF Link will also be the case for our clients in the Middle East and in Asia.”
It is reported that CUAM and Azimut have maintained a decade-long partnership. As Italy’s largest independent asset management company, Azimut has consistently expressed optimism about the A-share market and its long-term investment value. With China's ongoing high-level opening-up and the high-quality development of its capital markets, CUAM, together with Azimut, is committed to steadily advancing the connectivity and cooperation between China and overseas capital markets.
