Guotai Junan relaxes margin trading conditions

Guotai Junan Securities Co Ltd, one of China's largest investment banks, has relaxed conditions on its stock lending and margin trading.

The brokerage said on Thursday it had raised the average conversion rate for margin trading (allowing investors to borrow money for stock purchases) and stock lending (short selling) to 56.2 percent for share transactions in blue-chip and growth companies with stable performances.

The current maximum conversion rate, according to regulations, is 70 percent.