Geely, Saxo Bank sign JV to tap fintech opportunities in China

An agreement was signed on establishing a technological joint venture to provide financial and regulatory technology solutions to financial institutions for banks and fintechs (financial technology) in China between Copenhagen Saxo Bank A/S and Geely Sweden Holdings AB, a subsidiary of Zhejiang Geely Holding Group Co Ltd on Tuesday.

In the JV, Saxo Bank and Geely will own an equal 50 percent split. The new company will utilize cutting-edge technologies including cloud-based services, big data and artificial intelligence to provide Chinese institutions with full-suite financial and regulatory technology solutions, especially in areas of trading and investment, robo-advisory, asset management, risk solutions and Regtech (regulatory technology).

"We are confident that with Saxo's successful experience in the global market and Geely's rich local know-how, the JV will improve China's fintech capabilities in areas including trading, investment, pricing, investment consulting and regtech," said Li Donghui, executive vice-president and chief financial officer of Geely Holding Group.

Through the JV, Saxo Bank is looking to tap the significant opportunities brought by China's increasingly open financial markets by introducing internationally advanced financial and regulatory technologies and experiences to China and developing platform solutions that suit the needs and requirements of the Chinese market.

"The establishment of the technological JV is a significant milestone for the Saxo Group with unique commercial opportunities," said Kim Fournais, CEO and founder of Saxo Bank.

Through this agreement, Saxo Bank looks to significantly build its presence in the Chinese market, which is an integral part of Saxo Bank's long term strategy.

"This is a very important first step in strengthening our presence in China. And we will continue to explore further opportunities, working in tandem with regulators and the opening of Chinese markets, to provide transparent, efficient and safe access to investment opportunities in global financial markets building on our experience with tailoring our technology to highly regulated markets across the globe," said Fournais.

Geely Holding Group became an important shareholder of Saxo Bank in September 2018, supporting the bank in leveraging its strength in fintech.