Chinese authorities ramped up efforts to bolster the nation’s fragile financial markets, urging the country’s pension fund and some large-scale banks and insurers to increase stock investments.
(Bloomberg) — Chinese authorities ramped up efforts to bolster the nation’s fragile financial markets, urging the country’s pension fund and some large-scale banks and insurers to increase stock investments.
The China Securities Regulatory Commission held a seminar on Thursday with executives of the financial institutions, who vowed to help stabilize the stock market and boost economic development, according to a CSRC statement. The banks and insurers that attended weren’t named.
China has taken a series of steps to stabilize markets recently, from requesting state-owned banks to escalate intervention to support the yuan, to slashing handling fees in stock transactions. CSRC urged executives at the longer-term funds to boost equity investments and pledged to establish a long term evaluation system over three years, according to the statement.
Overseas funds have been fleeing the mainland market, offloading the equivalent of $10.7 billion in a 13-day run of withdrawals through Wednesday, the longest since Bloomberg began tracking the data in 2016. The nation’s equity benchmark is among the worst global performers this month.
–With assistance from Li Liu.
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