Yintech Investment Holdings subsidiary Forthright Financial Holdings has acquired Hong Kong-based asset management firm OTS Capital Management for an undisclosed sum.
Founded in 2015, OTS is a securities and futures commission (SFC) registered asset management firm, which is expertise in providing fundamental and value investment strategies for secondary market.
OTS offers asset management services to individual and institutional customers to deal with different financial products, including stocks, bonds, ETFs and commodities, traded on global capital markets.
OTS is a licensed corporation authorized to conduct type 4 regulated activity such as advising on securities and type 9 regulated activity such as asset management as part of Securities and Futures Ordinance.
OTS is said to generate revenues from recurring management fees and performance-based fees for the funds and products, which are managed by the company.
The acquired business will help Yintech to diversify its securities products and services offerings, in addition to complimenting its existing RMB asset management business after the acquisition of domestic asset management and overseas securities businesses in the fourth quarter of 2017.
Through incorporating OTS, Yintech can offer financial services across a range of financial products, including foreign-currency denominated long-short funds, investment manager in China’s secondary market, overseas securities brokerage services, and spot and futures commodities trading services in China.
Yintech chairman and CEO Wenbin Chen said: “OTS will provide a new and unique opportunity for Yintech to offer mainland China and overseas investors access to a broad array of investment solutions, including a full spectrum of traditional and potentially cutting-edge innovative financial products and research and advice capabilities.
“For almost a decade we have worked hard to deliver the highest quality client services and this acquisition will enable us to continue to deliver on this commitment and expand the Company’s role as a leading provider of investment and trading services for individual customers.”
Yintech offers investment and trading services for individual customers in China. Through leveraging financial technology and mobile platforms, the company offers advanced financial information, investment tools and services to its customers.