Hedge fund Bridgewater Associates, founded by Ray Dalio, has recently received approval to start a business in Shanghai in China, according to a report on the Wall Street Journal.
The latest approval could raise the spirits of Bridgewater peers regarding China, where foreign-run hedge funds are rare. "[T]he Bridgewater approval is likely to encourage other firms to consider whether they should look at the China market," the Journal cited Z-Ben Advisors as commenting.
The report, citing a Chinese regulatory filing, said Dalio registered "Bridgewater (China) Investment Management Ltd. on March 7 with capital of 50 million yuan ($7.6 million)."
The Journal noted that Z-Ben Advisors, a Shanghai market research firm, pointed to the new registration in a report published on Monday.
Related Link: Ray Dalio: China Is Going To Be Fine, Just Weaker
The report also said that the Bridgewater received the approval for the name of its Chinese subsidiary in October, when China was still recovering from the stock-market crash and devaluation of the yuan.
"While there are concerns over credit quality in certain segments, China still does offer comparatively high-quality bonds and with decent yields," WSJ reported quoting Z-Ben.
As per its website, Westport, Connecticut-based Bridgewater manages about $150 billion in global investments for a wide array of institutional clients, including foreign governments and central banks, corporate and public pension funds.
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