HSBC, the world's third-biggest bank, is looking into setting up an asset management business in China.

Chairman of HSBC's Hong Kong and Shanghai Banking Corp unit says they can do it either by going in on their own or they can look for a joint venture partner. But the final decision has not been made.

HSBC earlier this month bought 19.9 percent of the Bank of Communications for 1.75 billion US dollars, the biggest foreign investment in China's financial industry.

China has agreed to fully open its banking system to foreign competition by 2007 as part of its entry to the WTO.

(CRI.com August 18, 2004)