The Shenzhen Stock Exchange (SZSE) has taken significant steps to engage foreign investors in a bid to foster the development of its market. Recently, the SZSE conducted a meeting with foreign institutional investors to gather feedback on the current state of the A-share market. This initiative aligns with the exchange’s overarching goal of enhancing transparency and predictability to create a favorable environment for foreign investment in China.

During the meeting, foreign institutions praised the Chinese government for its proactive policy measures aimed at ensuring economic stability and growth. They highlighted the effectiveness of recent policies introduced post the meeting by the Political Bureau of the CPC Central Committee and the Central Economic Work Conference. These policies have not only stabilized social expectations but have also bolstered international investor confidence in the Chinese market.

The discussions at the SZSE meeting underlined the pivotal role foreign institutions play in the A-share market. The exchange emphasized the importance of ongoing communication with these institutions to further improve market transparency. It was emphasized that foreign investors are crucial stakeholders in driving the growth and sustainability of China’s capital market.

Moreover, the SZSE meeting shed light on the optimistic long-term outlook of China’s capital market, with specific sectors like high-end manufacturing, information technology, and consumer electronics being identified as areas with substantial long-term investment potential. Participants at the meeting expressed unanimous commitment to expanding their footprint in the Chinese market, showcasing confidence in its future prospects.

The SZSE is dedicated to advancing the openness of China’s capital markets and promoting high-quality development. Suggestions put forth during the meeting included enhancing mechanisms like Stock Connect and QFII, easing foreign investor access to A-shares, and improving policy communication. Additionally, encouraging top-tier listed companies to engage in international roadshows and focusing on enhancing shareholder returns and corporate governance were highlighted as key strategies to attract foreign investment.

By actively engaging with foreign institutions, the SZSE aims to cultivate sustained confidence and collaboration to drive the robust growth of China’s capital market. The exchange’s commitment to openness, transparency, and long-term partnerships with foreign investors underscores its vision for a thriving and inclusive market ecosystem.