China Halts Approvals for Some Hong Kong Stock Funds
- Halts approvals for funds 80% invested in H.K. stocks: people
- Hong Kong shares fall amid concern the move will limit inflows
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China’s securities regulator is suspending approvals for some mutual funds that plan to allocate at least 80 percent of their portfolios to Hong Kong-traded stocks, according to people briefed on the matter.
While the China Securities Regulatory Commission has shelved applications for such funds by some fund management companies, the review process for funds that aim to put less than 80 percent of their non-cash assets into stocks in Hong Kong continues as usual, the people said, declining to be named as the regulatory guidance was not public.