AMP has entered into an agreement with China Life Insurance to expand into the Asian asset and pension management market.

Its agreement with the world’s largest listed life insurer aims to capitalise on a Chinese private pensions market that is projected to grow to $1 trillion by 2030.

AMP CEO Craig Dunn says a memorandum of understanding will allow the two organisations to build operations in the Asia-Pacific region.

“We will work closely with China Life to explore opportunities where we can to draw on our areas of strength for mutual benefit,” he said.

Structural change within the Chinese pension market is expected to provide a further boost to AMP’s prospects in the region.

The agreement comes less than a week after AMP’s joint $11 billion takeover bid with Axa SA for Axa Asia Pacific Holdings was rejected.