Equity exposure Hits Yearly Minimum in China

Forex News
In order to prevent tightening liquidity, China’s fund managers lowered their suggested equity exposure for the next 3 months to the yearly minimum of 71.9% (previously 79.4%), by that reinforcing suggested bond allocations from 5.6% to 6.9%. Recommended cash allocations has been increased from 15% to 21.3%. Average recommended allocations for consumer shares hit the maximum of eighteen months. Average recommended allocations for consumer firms' stocks were lifted from 30% to 32.9%. Average recommended allocations for financial stocks were reduced from 21.4% to 17.8%, for electronics firms were cut from 24.5% to 20%. Still, according to the survey, some managers preferred no to change the level of equity exposure.