“China has announced new measures to promote the development of index investment products, the latest step to support the ailing stock market amid a turbulent external economic environment.”, — write: epravda.com.ua
China has announced new measures to promote the development of index investment products, the latest step to support the ailing stock market amid a turbulent external economic environment. This is reported by Bloomberg. The government aims to achieve a significant increase in the scale and share of index investments in the capital market through efforts over a period of time, the China Securities Regulatory Commission said in a statement posted on its website on Sunday. The regulator set a goal to strengthen the asset allocation function of index funds and provide more convenient channels for entering the market of medium-term and long-term funds. The CSRC will also seek to attract foreign funds to invest in the RMB-denominated A-share market through exchange-traded funds and actively promote the development of stock and bond exchange-traded funds. The stock market watchdog also promised to lower the costs of index funds and exempt them from market-making fees. Chinese stocks have come under pressure in recent months amid fears of a prolonged economic downturn and threats of higher tariffs from US President Donald Trump. Traders are increasingly disillusioned with Beijing’s attempts to stimulate the economy and question the effectiveness of measures introduced so far.