(Yicai Global) Nov. 16 -- Bank of China, one of the country's big four state-owned commercial lenders will set up a CNY10 billion (USD1.4 billion) wholly-owned unit focused on issuing wealth management products and making foreign investments.

BOC's board recently approved relevant proposals for the establishment of a financial arm, the Beijing-based bank said in a statement.

The new unit's business scope will include public or non-public issuance of wealth management products, property investment and management of entrusted investors, as well as the provision of financial advisory and consulting services.

BOC is the second large state-backed bank to announce the formation of a financial arm following Bank of Communications. Some 16 banks have started asset management businesses since 2015.