In a move geared toward trying to filter long-term money from pension funds and insurance premiums into its stock markets, China's government has contracted a group to study how such a transition can be made, Reuters reports.
The country's $450 billion stock markets, if the studies prove fruitful, would rise by $6 billion with the insurance premium money alone. The red-hot China markets, which have gained 10.6% since Monday's announcement that the government would provide assistance, had previously lost 21.6% since April due to a sluggish Chinese economy.
Now, the government has made some huge reforms, such as allowing banks to open mutual funds for the first time since the mid-1990s, and the Shanghai Securities News reported that more task forces aimed at aiding the markets would not be far behind.
The task force for the pension fund and insurance premiums plan will be made up of seven departments, included the China Securities Regulatory Commission.