MNI BRIEF: China To Boost Long-term Funds For Equity Market
MNI (BEIJING) - China will guide more insurance funds to invest in equities and promote the scale of equity funds in a bid to boost the market, according to a plan issued on the website of China Securities Regulatory Commission (CSRC) Wednesday.
The plan, aiming to promote medium- and long-term capital entry into the market, said policy makers will encourage large state-owned insurance companies to increase the scale and actual proportion of investments in A-shares, steadily add to the proportion of equity assets in the National Social Security Fund and improve the market-based investment of corporate annuities, emphasising growing the scale and proportion of equity funds.
Regulators will optimise the capital market investment ecosystem, encourage listed companies to increase share buybacks and allow multiple dividend distributions within a year, the plan stated. (See:MNI INTERVIEW2: China Fiscal Stimulus Seen Near 10% GDP)