Text Version
RSS Feeds
Newsletter
Home Forum Photos Features Newsletter Archive Employment
About US Help Site Map
SEARCH   About US FAQ Site Map Site News
  SERVICES
  -Text Version
  -RSS Feeds
  -Newsletter
  -News Archive
  -Give us feedback
  -Voices of Readers
  -Online community
  -China Biz info
  What's new
 -
 -
China ends freeze on new stock funds
+ -
15:31, February 02, 2008

 Comment  Tell A Friend
 Print Format  Save Article
Two new closed-end stock funds have won approval from the China Securities Regulatory Commission (CSRC), which ended a five-month freeze on new funds in an effort to brake the fall of domestic equities.

CCB Principal Asset Management Co. and China Southern Fund Management Co. will launch funds with ceilings of 6 billion and 8 billion shares, respectively, according to Saturday's Shanghai Securities News. The two funds would together raise about 14 billion yuan (1.95 billion U.S. dollars) after the Spring Festival, which comes on Feb. 7.

The CSRC suspended the launch of new funds late last year in reaction to the surging domestic stock market. The Shanghai Composite Index nearly doubled last year.

But the benchmark index dipped to 4,320.77 points on Friday, nearly 30 percent off its record high of mid-October, as investors sold holdings due to concern over a possible U.S. recession. The domestic stock market has seen volatile trading in recent weeks, with shares sinking more than 7 percent on Jan. 22, the largest percentage loss in seven and a half months.

More than 60 percent of the investment funds in China had losses in the fourth quarter that totaled 72.1 billion yuan. Figures from TX Investment Consulting Co. indicated that 215 funds managed by 58 companies disclosed losses in their fourth-quarter reports. These losses were the first for Chinese funds as a whole since the end of June 2005, when the stock market began a bull run.

Source:Xinhua



  Your Message:   Most Commented:

|About Peopledaily.com.cn | Advertise on site | Contact us | Site map | Job offer|
Copyright by People's Daily Online, All Rights Reserved

http://english.people.com.cn/90001/90776/90884/6350233.pdf