Pension funds gain access to the stock market

Up to 600 billion yuan ($97 billion) could be channeled into China's struggling equity market after the Cabinet gave final approval on Sunday to allow pension funds access to the stock market.

These funds will be able to invest up to 30 percent of their net assets in the country's stocks, equity funds and balanced funds, according to the finalized rules published by the State Council.

A draft rule was publicized for public consultation on June 30. The Ministry of Human Resources and Social Security said late last month that a majority of the public supported the proposals, including the 30 percent ceiling.