Big China Brokerage Banned From Investing Its Own Money in IPOs
- Galaxy Securities suspended through January on breach of rules
- Authorities keen to ensure compliance before tech board starts
Source: AFP via Getty Images
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One of China’s biggest brokerages is barred from investing its own money in initial public offerings, after the firm’s staff failed to meet a deadline to place orders on a new trading venue for technology stocks.
Proprietary accounts of China Galaxy Securities Co. are suspended from this month through January 2020, the Securities Association of China said in a statement Friday. The firm will demote its head of trading and has warned other employees linked to the breach of rules on the IPO of Suzhou TZTEK Technology Co., Galaxy Securities said in an email Monday.