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Invest Shanghai
Shanghai entered the global top three for the first time in the 2026 Global Asset Management Centre Index released on Sept 15 by the Lujiazui International Institute of Finance of the China Europe International Business School.
The city scored 87.05, up 2.83 points and two places from 2025, ranking third globally and first in Asia. New York led with 93.62, followed by London with 88.04.
The report said the world's leading asset management centers were developing along three distinct competitive models, represented by New York, London, and Shanghai, respectively.
It identified Shanghai as a large-market, growth-driven center that achieves economies of scale through its domestic capital market and funding base before expanding its asset management products, technology applications, and international business.
The coexistence of the three models points to a more diversified global asset management landscape in which major centers play different roles, the report said. China is narrowing the gap with established centers through its large market and rapid growth.
Shanghai has risen from eighth place in 2021. The report attributed the rise partly to the continued expansion of underlying assets, an area in which Shanghai ranked second globally behind New York.
Shanghai's stock market capitalization rose from $7.62 trillion in 2025 to $10.12 trillion in 2026, while outstanding bonds in its bond market rose from about $25 trillion to $28.74 trillion.
The expanding pool of yuan-denominated assets has created a larger investable base for index funds, quantitative and derivatives strategies, and global asset allocation.
The city also expanded the range and scale of products built on these assets. Net assets in open-ended funds rose 35.5 percent to $1.64 trillion, while exchange-traded funds listed in Shanghai reached 4.2 trillion yuan ($626.86 billion) at the end of 2025, up 55 percent year-on-year.
Financial technology provided further support, with Shanghai ranked fifth in asset management technology. The city brings together national-level financial markets, leading financial institutions, technology companies, and top-tier talent.
This ecosystem has supported the use of artificial intelligence in asset allocation, securities research, trade execution, risk identification, and back-office operations.
Meanwhile, Shanghai's institutional openness score rose from 65 in 2021 to 82.5 in 2026. Measures introduced in recent years include expanded cross-border fund and ETF links, upgrades to free trade accounts, and pilot programs for cross-border data transfers by mutual fund managers.
Shanghai has also been selected to pilot major opening-up measures, including initiatives related to offshore finance. It has become the preferred location for foreign asset management institutions to do business within China.
The report also identified room for improvement. Shanghai ranked 13th for its tax and talent environment. According to the report, to improve its ranking, Shanghai needs to make it easier for international institutions to access, trade, hedge, and convert yuan-denominated assets, while attracting more global professionals to conduct China and Asia asset management business based in Shanghai.