China to hike insurers' equity investments to 45%

Currently, China caps all insurers' equity investments at 30% of their total assets.

The China Banking and Insurance Regulatory Commission is increasing the cap on how much insurers can invest on equity assets to 45%, reports Reuters.

Currently, China caps all insurance companies’ equity investments at 30% of their total assets.

Investments will be capped at 10% of the total share capital of any single listed company, the regulator added.

The official Shanghai Securities News reported the move to raise the equity investment ceiling to 45% from 30% should introduce hundreds of billions of yuan to China’s A-share market.

Here’s more from Reuters.