China to better regulate financial holding companies' transactions

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China to better regulate financial holding companies' transactions
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BEIJING : China's central bank on Thursday issued rules managing financial holding companies' affiliated transactions, to help curtail risks and ensure financial stability, according to a statement on the regulator's website.The rules, which follow a draft version in August, will promote stable and health

BEIJING : China's central bank on Thursday issued rules managing financial holding companies' affiliated transactions, to help curtail risks and ensure financial stability, according to a statement on the regulator's website.

Improper transfer of interests through financial holding companies' transactions with related parties will not be allowed. The firms are also barred from designing complex structured products for affiliated transactions to hide risks and sidestep supervision.

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