The risk weighting will be lowered for insurers’ investments in CSI 300 Index members as well as stocks listed on the STAR market, according to new rules issued by China’s National Administration of Financial Regulation. The minimum capital requirements for insurers will also be cut, according to a statement.
Insurers may speed up the flow of funds into the capital market after the new rules, Wang Junhui, chief investment officer of China Life Insurance Group Co. was cited as saying in the China Securities Journal. Beijing has taken a number of steps in recent weeks to restore investor confidence, from lowering transaction costs to restricting some top shareholders from selling stakes. The moves have done little to arrest the slide in stocks as investors worried the government will fail to issue enough stimulus to rescue the economy. The CSI 300 has slumped 11% since this year’s January high, after tumbling 22% in 2022.
The China Securities Regulatory Commission last month asked executives from insurers as well as the country’s pension fund and large banks to increase support for the market. The executives vowed to help stabilize shares and boost economic development, according to a CSRC statement.
Australia Australia Latest News, Australia Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: SaltWire Network - 🏆 45. / 63 Read more »
Source: SaltWire Network - 🏆 45. / 63 Read more »