Regulators limit multiple stock accounts

A Chinese securities regulator has tightened regulation of illegal market activity by limiting each investor to a maximum of three stock accounts in the A-share market.

Industry experts said that the restriction on the number of stock accounts could be a "double-edged sword" for the securities market.

"The brokerage business of the securities firms might be negatively affected. But, it is necessary for the regulator to do something about the illegal market activities, including manipulation using multiple stock accounts," said an analyst at Huatai Securities Co Ltd, who asked for anonymity.