Financial fields interested in Chinese sports industry

‍‍Collaboration between financial industry and sports industry started to draw people’s attention as the Chinese government released the design for the sports industry a while ago, setting the goal to be an over-5-trillion-yuan industry by 2025. 

At a recent summit of sports industry, Yang Wenshuo, Internet analysts of Essence Securities, expressed that there is clear disadvantages in terms of service sector of the sports industry. This is a development opportunity under the reform. 

As the government provides more policy supports and allows more system innovations to the industry, capitals from various fields started to show interests in the field. Last June, Alibaba invested 1.2 billion yuan into Guangzhou Evergrande FC, to own 50 percent of Evergrande’s stakes. 

Major banks are also planning to invest in this field. General Manager of investment department of China Minsheng Bank said that the sport industry was an industry larger than what was imagined and contained very wide areas; therefore, financial organizations would be sure to be involved. 

Among this investment trend, crowd-funding is regarded as a proper solution, according to an industry expert. Crowd-funding could help accumulate funds and resources in a quick manner and avoid risks in investments. It could gather investing organizations, public-listed companies, and industry professionals, to enable growth with the company and to offer more diverse advices. 

According to online information, in 2014, the market of sports sponsorship in Asia Pacific increased 15.4%, while the global market increased 13.2%. There is still investing space. 

Source: STCN