China’s Central Huijin Investment Ltd., a state-owned investment company, announced on Monday that it has increased its holdings of exchange-traded funds (ETFs) to bolster the stability of the capital market.
This move reflects Central Huijin’s confidence in the current market value of A-shares and its commitment to supporting China’s financial markets during fluctuating times. By expanding its investment in ETFs, the company aims to reinforce market confidence and ensure steady operations within the capital market.
A-shares are shares of companies based in the Chinese mainland that are traded on the Shanghai and Shenzhen stock exchanges. They are available to domestic investors and select foreign institutions. Central Huijin’s increased investment in these ETFs is seen as a strategic effort to maintain market equilibrium.
The company stated that it “fully recognizes the current market allocation value of A-shares” and will continue to intensify its efforts to increase ETF holdings. This action underscores Central Huijin’s role in supporting the national economy and safeguarding financial stability.
Amid global economic uncertainties, such proactive measures are essential to sustain growth and protect investors’ interests in China’s capital markets. Central Huijin’s initiative is expected to inspire confidence among investors and contribute to the healthy development of the financial sector.
