Harvest Fund Management, Yinhua Fund Management and Orient Securities pledged to buy a combined 210 million yuan ($33.9 million) worth of equity funds to help stabilize China’s stock market, according to Reuters.
Top executives and fund managers at the three firms also committed themselves to buy fund products, the report said.
The report comes right after the government and brokerages unveiled over the weekend a plan to infuse 120 billion yuan into the stock market.
The plan involves the country’s central bank, the PBOC, infusing money into the state-run Chinese Securities Finance Corp, which, in turn, will provide money to brokerages to support the stock purchases of Chinese investors.
Investors initially cheered the measures, driving the nearly 8% rise of the Shanghai Composite Index at the opening. The euphoria soon fizzed out and the index ended the morning session up 2.2%.
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