CISI’s launch in China this month is testament to the hard work of CBBC and a patient, strategic market entry, writes Tom Pattinson

Stepping for the first time into the China market is not easy. A false start can lead to years of costly mistakes and even full withdrawal from the country. But with strategic planning, effective networking and trust-building, companies can make a successful entry, as seen in a recent collaboration between CBBC and the Chartered Institute for Securities and Investment (CISI).

The institute is the leading professional body for securities, investment, wealth and financial planning professionals. That means that if you want to work in financial services, then more than likely you’ll be taking CISI’s exams at some point.

Since the institute received its royal charter 35 years ago, more than 40,000 members have become CISI qualified. They offer exams in more than 60 countries around the world. And now, with the help of CBBC, they are about to launch in China.

Yet this current foray into China isn’t CISI’s first. A decade ago, it launched an office in Shanghai in a bid to provide learning and qualifications for Chinese finance professionals. However, a lack of governmental support and complex regulations meant that the organisation struggled to thrive and in 2011 the Shanghai office was closed.

But after that initial false start, CISI is now leading the way thanks to a fortuitous encounter at a roundtable event for the Lord Mayor of London.

Sir Alan Yarrow Lord Mayor

Hayley Brown, senior international manager at CISI, found herself sitting next to Juliet Zhou, head of financial services for CBBC. Juliet knew of a company in Qingdao who were actively looking to find a wealth management professional education provider.

CISI representatives attended a number of delegations and invited representatives from the Qingdao municipal government to their headquarters in London. After a number of trips between Qingdao and London, CISI will now be opening their new China office this month in Qingdao.

The Qingdao municipal government have been proactive in working with CISI in a bid to attain their goal for the region

“Juliet helped guide us on strategy, and the importance of having a strong relationship with a Chinese partner,” explains Brown. “We have since joined as members of CBBC and they have helped us with marketing ideas and connecting us with the local office in Qingdao. We have also taken advantage of their ‘Doing Business In China’ cultural awareness course, which was extremely valuable. CBBC are very supportive and responsive and want us to do well,” she says.

Qingdao, a city on China’s east coast, has aspirations to become the centre of wealth management in China. The Qingdao municipal government have been proactive in working with CISI in a bid to attain their goal for the region, offering them some office space. Introductions from the CBBC, support from the British Embassy and the City of London have helped to expedite the process.

Simon Culhane, Chief Executive of the Chartered Institute for Securities and Investment photographed at the office in the City of London. Photo by Michael Walter/Troika

The municipal government then went on to introduce CISI to the Shanghai University of Finance and Economics (SUFE), who wanted to establish a wealth management qualification in Qingdao. When SUFE saw what CISI had to offer they were happy to partner. CISI will provide the exams, and as the local partner, SUFE will ensure that the necessary face-to-face training is completed and that the testing facilities are of the correct standard. They will also help to promote the exams, ensuring that CISI’s exams are accredited through a Chinese university.

This affiliation with both the Qingdao government and an academic institute has enabled CISI to get the permissions needed.

“In this tri-part collaboration we want to see Qingdao become a financial powerhouse, and hope that our qualifications will help in this endeavour,” says Brown. “We would like to build awareness of CISI in China, as we will have a portfolio of Mandarin products and services.”

The wealth management market is still relatively immature in China but there are a growing number of students and people working in finance who are learning how to move from retail banking to managing wealth and private banking.

“Our qualifications can help successful candidates to improve their contribution to their employers, helping them to hit the ground running and therefore make an immediate impact to a business,” says Brown.

CISI is expecting that 80 per cent of its customers will be currently employed in banking or from a financial background with the remainder being made up of students from institutes like SUFE.

Large global banks in China use CISI qualifications and CISI is hoping to widen its audience in Qingdao to include local banks and wealth management institutions.

“The first qualification we are launching in Qingdao, the International Certificate in Wealth and Investment Management (ICWIM), is seen as an industry benchmark, placed at level 3 on the qualifications registrations framework in the UK,” says Brown.

With a target of 150 students in year one rising to 500 the following year, their goal is then to introduce CISI qualifications to other regions in China.

Simon Culhane, Chartered FCSI and CISI CEO, said: “Learning is for life and professional qualifications offer an opportunity to invest in yourself and your future. I am confident that with skilled personnel and the collaboration between CISI, SUFE and the Municipal Government we will begin to see Qingdao rise up the global financial centres index.”

Timeline of events

• June 2015: CISI invited to a Qingdao delegation lunch organised by the Foreign Office and CBBC
• 2015: CISI meeting with Mr Bai, director-general, Qingdao Financial Services Affairs Office, in London
• January 2016: CISI consultant for China visited Qingdao in a return delegation
• March 2016: Mr Xia from Qingdao’s municipal government visited CISI headquarters in London
• August 2016: CISI visit to Qingdao and municipal government appointing SUFE to be partner institute
• September 2016: Direct communication with SUFE begins
• January & May 2017: CISI visit Qingdao to prepare for the launch
• June 2017: Programme due to be launched