BlackRock, the world’s biggest asset manager, has applied to set up a mutual fund business in China, taking advantage of the latest liberalisation of the country’s financial services sector.

The China Securities Regulatory Commission said it had accepted applications from BlackRock and US investment manager Neuberger Berman, as authorities on Wednesday removed restrictions on fully foreign-owned fund management companies. Beijing also eliminated the cap on foreign ownership of securities businesses.

The opening of China’s fund industry is a pivotal moment for fund managers eager for a slice of a growing market that offers millions of potential investors for their mutual fund products. Foreign financial services companies and their governments have for the past 20 years been lobbying Beijing for greater participation in its domestic market.