China sees growing private pension funds sales agencies

BEIJING, Feb. 3 (Xinhua) -- China saw a growing number of qualified fund sales agencies to cater to the wealth management demands of clients participating in the country's private pension scheme.

There were 52 funds sales institutions for private pension as of the end of 2024, up from 37 in 2022, said the Asset Management Association of China.

Among them, 19 are commercial banks, including the Industrial and Commercial Bank of China and the Agricultural Bank of China. The rest are 25 securities companies and eight independent sales institutions.

To enhance the old-age security system, China piloted a private pension scheme in certain cities in 2022 and expanded the program nationwide in December 2024.

The scheme allows participants to contribute up to 12,000 yuan (about 1,674 U.S. dollars) annually to their private pension accounts and offers them tax incentives. The account could be used to buy specific wealth management products such as funds.