Australia's AMP in strategic partnership with China Life

HONG KONG, Nov 16 (Reuters) - AMP Ltd (AMP.AX) has entered into a strategic partnership with the world's largest insurer by market value, China Life Insurance (2628.HK), for the asset management and pensions sectors, the Australian insurer said on Sunday.

AMP had signed a memorandum of understanding (MOU) for strategic cooperation with China Life, the company said, but had yet to make a decision to form a joint venture with the life insurance giant.

AMP was open to partnering with China Life to tap China's growing market for mutual and pension funds, a senior executive with the firm told Reuters on Friday. [ID:nHKG115157]

China's private pensions market is expected to grow to A$1 trillion ($934 billion) by the year 2030, with the sector undergoing broad structural changes.

"Like Australia, China is also facing a significant demographic shift," said AMP Chief Executive Craig Dunn.

By 2050, the number of Chinese citizens aged 60 or over is expected to rise to more than 430 million, or 31 per cent of the population.

"This trend has significant implications for the aged care sector and other areas of social infrastructure, areas in which AMP also has investment expertise," Dunn said. AMP, Australia's biggest superannuation provider, received a qualified foreign institutional investor (QFII) licence to trade in yuan-denominated A shares in 2006, with China Life Asset Management Company acting as the local investment adviser.