Two State-owned banks, the China Construction Bank and the Bank of China, were approved to set up wealth management subsidiaries, according to the China Banking and Insurance Regulatory Commission on Thursday.

Many other commercial banks have applied to set up wealth management subsidiaries, the commission added.

The commission officially issued and implemented the administrative measures on financial subsidiaries of commercial banks on Dec 2, 2018, to promote the return of asset management business of banks, cultivate and strengthen the team of institutional investors, and guide financial funds to support the real economy and invest in the financial market in a legal and standardized way.