China’s Stocks Advance on QFII Speculation

China’s stocks rose the most in a month after the head of the securities regulator said the nation can increase by 10 times the size of two investment programs that allow foreign investors to buy securities.

China can raise quotas to allow foreigners as well as offshore yuan holders in Hong Kong to buy stocks and bonds in the mainland, said Guo Shuqing, Chairman of the China Securities Regulatory Commission. Citic Securities Co. led a rally for brokerages on the prospect that increased demand for equities would boost profit. Hebei Sailhero Environmental Protection High-tech Co. jumped 10 percent and Tasly Pharmaceutical Group Co. surged to a record high as worsening pollution in Beijing may spur demand for health care and environmental protection.