China official says insurance firms still have room to increase their market investment

China vice finance minister

• Large state-owned commercial insurance companies still have room to increase their capital market investment.

Other officials:

• China will guide fund companies to buy their own equity funds using some of their profits.

• The vice head of China’s financial regulator says major state insurers will be encouraged to allocate 30% of their newly generated premium income to stock investments.

• Dividend payouts and share buybacks by listed companies hit record highs last year.

• More than 310 listed companies are expected to pay out dividends totaling over 340 billion yuan in the first two months of this year.

• The current dividend yield of the CSI 300 Index has reached 3%, significantly higher than the yield on the 10-year treasury bond.

This is related to this from earlier:

• China to boost long-term funds for equity markets
• Chinese official says 100s of bns of yuan to flow into shares every year from pensions

China ramping up the supportive moves for stock markets.

This article was written by Eamonn Sheridan at www.forexlive.com.