BLACKSTONE’S newly established China unit has received regulatory approval to raise funds that will be invested overseas, joining other global asset managers in seeking to tap Chinese investor demand for foreign assets.

Blackstone registered a fund management unit with the Asset Management Association of China under the qualified domestic limited partnership (QDLP) program, a notice from the regulator showed.

The unit, which was established in March, has seven full-time employees, including five fund professionals, the notice said.

The quota-based QDLP program, first launched in 2012, allows foreign and domestic fund managers to raise money from Chinese high-net worth individuals and institutions which is then fed into offshore funds.

It was not immediately clear how big Blackstone’s quota is.

The QDLP program is generally more popular when the yuan is weaker. Chinese investors have in recent months rushed to make dollar deposits and buy Hong Kong insurance, indicating stronger demand for foreign assets as the yuan comes under more pressure. (SD-Agencies)