China’s securities regulator will resume approving the establishment of domestically funded securities firms, ending an 11-year suspension as the country seeks to empower domestic players while further opening the industry, said Caixin.
Since the last brokerage house fully owned by mainland-based investors was set up in 2008, all newly-approved brokerages were joint ventures between domestic and overseas investors, including those from Hong Kong and Macao.
The China Securities Regulatory Commission said Friday the resumed approvals of domestically-funded brokerages is aimed at introducing more high-quality domestic investors into the securities market and promoting healthy market competition.
China currently has 131 brokerage houses in operation with 30 more awaiting approval for establishment.