Chinese fund companies have provided positive reference for the foreign shareholders of joint venture fund companies in the business development of fund companies, making them gradually move closer to international standards in terms of product line layout and operation methods.

In addition, after the launch of QDII.

The overall price-to-earnings ratio difference between the H-share market and the A-share market, as well as the gradual integration of the two markets, may lead to a series of conflicts in valuation methods in the context of unresolved institutional flaws such as shareholding splits.

This highlights the huge advantage of joint venture fund companies in allocating assets from a global strategic perspective and paying attention to China's market-specific institutional structure and its impact on valuation levels.

Its disadvantages are also obvious, including high operating costs, "acclimatization", and differences between Chinese and foreign shareholders. Compared with Chinese-funded fund management companies, Sino-foreign joint venture fund management companies tend to choose office space and pay employee salary levels.

The pursuit of high standards has inadvertently made its operating costs much higher than the average level of domestic fund companies.

In terms of investment management, Shanghai Sino-foreign joint venture fund management companies generally face the problem of how to adapt to and become familiar with the local market as quickly as possible. Their familiarity with the Chinese market still needs a process. The localization of Sino-foreign joint venture fund management companies is a more prominent issue.

The conflict between Chinese and foreign shareholders is also a shackle for the development of Shanghai joint venture fund management companies.

The usual practice is for Chinese and foreign shareholders to serve as the company's chairman and general manager respectively, and important middle-level management positions are either assigned equally by both parties, or a dual-post setup is implemented, with one person from each party serving as the chief and deputy positions.

Under the ‘rotation’ design, important positions are held by Chinese and foreign parties in turn.

No matter which setting, there will be a certain amount of internal friction and friction.