On Sunday China announced new measures to boost equity index investment products

In a weekend announcement China is promoting index investments to boost the struggling stock market amid the country’s economic challenges.

The China Securities Regulatory Commission posted a statement on its website on Sunday. In brief:

• CSRC aims for a significant increase in index fund scale and proportion over time.

Measures include

• strengthening asset allocation,
• easing entry for long-term funds,
• attracting foreign investments via ETFs
• lower index fund fees
• exempt market-making fees

Last week moves announced included:

• mutual funds to raise equity holdings by 10% annually for three years
• state-owned insurers to invest 30% of new premiums from 2025

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Separately over the weekend, China Banking and Insurance News reported on Sunday that China approves ¥52B ($7.2B) for insurers’ long-term equity investments.

This article was written by Eamonn Sheridan at www.forexlive.com.