State-owned investor purchases ETFs

    CHINA’S State-owned investment company Central Huijin Investment Ltd. said Sunday that it recently purchased exchange-traded funds (ETFs) on the stock market and will continue to do so, according to a statement on its website.

    The announcement confirms widespread speculation that a sharp rise in inflows into Chinese ETFs last week were in fact coming from Central Huijin and other government-controlled entities as authorities sought to prevent a stock market collapse.

    More funds move to stabilize market

    MORE mutual funds said Sunday that they will invest to stabilize China’s stock market, following a statement by the China Mutual Fund Association on Saturday, in which 25 fund companies committed to buying shares and holding them for at least one year.

    However, the statement didn’t give any specific figures or timeline for the investment.

    3 asset firms commit funds to stock buy plans

    THREE asset managers said yesterday they would commit a combined 210 million yuan (US$33.85 million) of their own capital to buy equity funds, in a concerted effort announced over the weekend by institutional investors to help stabilize China’s tumbling stock markets.

    Harvest Fund Management Co. said it would spend 50 million yuan, Yinhua Fund Management Co. committed 90 million yuan and the asset management arm of Orient Securities will spend 70 million yuan to buy equity funds. The companies’ senior executives and fund managers also pledged to buy fund products.

    Regulator warns Party bureau chiefs about graft

    ANTI-CORRUPTION officials at the China Securities Regulatory Commission (CSRC) warned Party chiefs in nine bureaus that they would be held responsible for any graft in their organizations, according to a statement posted on the website of the Communist Party’s internal disclipinary committee yesterday.

    The warning to nine unnamed bureau chiefs came at a recent meeting in the city of Fuzhou, the statement said. “Party secretaries must completely shoulder responsibility for the fundamental responsibility of building good governance,” the statement said.