International financial institutions have been buying up Chinese assets amid growing global interest in the country’s stock markets following the announcement of a series of stimulus policies.
According to data released by the Hong Kong Exchanges and Clearing Limited (HKEX) on Friday, J.P. Morgan Chase purchased several Hong Kong stocks on September 27th, increasing its position by about 530 million U.S. dollars in a single day to expand its holdings in Chinese assets. Firms like Switzerland’s UBS and the U.S.-based BlackRock have also recently increased their investment ratings for China’s A-shares.
“Statistics show that during the last three trading days of September, funds flowing into Chinese stock exchange-traded funds (ETFs) products reached 2.4 billion U.S. dollars, a figure almost matching the total inflows into similar products over the previous nine months,” said Peter Pak, executive director of BOCI Securities Limited, a Hong Kong-based investment firm.