New pension target securities funds get the green light

China has just approved 14 Chinese asset managers to float pension target securities investment funds, a move to improve A-share market liquidity and offer the nation's middle-income earners more diversified pension management solutions.

China Asset Management Co Ltd, China Southern Asset Management Co Ltd, Bosera Asset Management Co Ltd, E Fund Management Co Ltd and 10 other asset management companies became the first batch to receive regulatory approval, according to the China Securities Regulatory Commission on Monday.

People close to China Asset Management Co Ltd said the pension target securities investment funds will start to be sold as soon as this week. The first batch of funds will adopt the fund of funds strategy, an investment strategy of holding a portfolio of other investment funds rather than investing directly in stocks, bonds or other securities.