China’s securities regulator on Friday published guidelines on mutual funds participating in the securities lending business, as part of efforts to improve China’s short-selling mechanism.
Under the business, mutual funds can lend their share holdings, which will be used for short-selling.
The China Securities Regulatory Commission (CSRC) said the guidelines are designed to improve the securities lending mechanism ahead of the launch of Shanghai’s Nasdaq-style tech board, the STAR Market.
The Reuters article is available at https://uk.reuters.com/article/uk-china-securities-lending/china-improves-short-selling-mechanism-ahead-of-tech-board-launch-idUKKCN1TM0Y0