China’s Stock Market to Open to Overseas Firms
It's been long known that China is certainly the place to invest. The economy of China is booming and there are great opportunities to make money. The Chinese stock market will soon open to overseas firms. This will boost the growth of the Chinese capital market. In addition, this will ease liquidity pressures. As part of the opening up of the stock market, an International Board will be established which will help with easier approval procedures for the listed firms.
On December 11, the Shanghai Stock Exchange presented its development plan for the next ten years. In its plan, the SSE demonstrated its interest to make procedures so that foreign companies can also list in the Chinese stock market. This will accelerate the development of red chip firms, which refers to companies of mainland China that are registered overseas and listed in Hong Kong too.