China Boosts Stock Market Intervention Amid ETF Surge

China’s ‘National Team’ Boosts Stock Market Intervention Amid Sudden Surge in Assets

China’s “national team,” a group of state-run funds, has ramped up its intervention in the stock market following a significant increase in assets at top exchange-traded funds (ETFs). At the end of 2023, the combined net assets of the five ETFs that track the CSI 300 Index and the Shanghai Stock Exchange’s top 50 stocks reached 339 billion yuan. This figure decreased to 194 billion yuan by June 30 and 185 billion yuan by March 31 last year. Managed by E Fund Management, Huatai-PineBridge Asset Management, China Asset Management, and Harvest Fund Management, the nation’s top five ETFs had net assets of US$79.2 billion on February 9.