China's State Council Information Office (SCIO) held a press conference on Thursday to unveil significant reforms aimed at encouraging the flow of medium- and long-term funds into the capital market, promoting its high-quality development.
Wu Qing, Chairman of the China Securities Regulatory Commission (CSRC), outlined plans to gradually expand corporate pension coverage. Employers that meet specific criteria will be encouraged to allow individuals to make their own investment choices within corporate pension schemes. To diversify investment strategies, the CSRC supports corporate pension fund managers in adopting differentiated approaches.
Wu further emphasized the importance of enhancing public fund management, setting a target of at least a 10 percent annual increase in the market value of A-shares held by public funds over the next three years.
The CSRC also announced accelerated efforts to implement a second batch of long-term stock investment pilots for insurance funds, with a planned scale of no less than 100 billion yuan ($13.7 billion). Building on existing initiatives, the CSRC aims to guide large state-owned insurance companies to significantly increase both their scale and the actual proportion of investments in A-shares. Starting in 2025, 30 percent of newly collected insurance premiums will be allocated for investment in A-shares.
Reference(s):
cgtn.com
