CSRC lifts net-buy requirement for brokerages as 12 hedge funds go MIA

The China Securities Regulatory Commission has lifted an order requiring brokers to buy more than they sell in proprietary trading, Reuters reported, citing unnamed sources. The end of the measure, put in place in July amid a market rout, signals greater confidence from authorities as mainland equities continue their recovery, with the Shanghai Composite Index now up around 20% from its nadir in August. But a crackdown on brokerages continues with government probes into Guotai Junan Securities and Haitong Securities, and the Asset Management Association of China has revealed that it was unable to contact 12 domestic hedge fund companies.