The China Insurance Regulatory Commission (CIRC) is launching a series of measures to rein in frequent and aggressive stock trading. In the first phase of its crackdown on insider trading, regulators will ban short-selling by brokers who are not registered with the CRC. Insurers in China will also be forbidden from allying with non-insurance firms to buy listed companies. CIRC chairman Xiang Junbo said "insurers should be long-term investors rather than short-term speculators".
The China Insurance Regulatory Commission (CIRC) is launching a series of measures to rein in frequent and aggressive stock trading. These include reverting the limit on equity exposures in insurers’ investment portfolios back to 30%, having just raised it to 40% last July to shore up the falling stock market, and cutting the percentage of total assets an insurer can invest in a single stock from 10% to 5%. Insurers in China will also be forbidden from allying with non-insurance firms to buy listed companies. CIRC chairman Xiang Junbo said "insurers should be long-term investors rather than short-term speculators".