China Increases Margin Requirements on Stock-Index Futures
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China increased the margin requirements on stock-index futures contracts to 30 percent and narrowed the number of contracts that traders can open before they are considered “abnormal trading.”
Opening more than 100 contracts on a single index-futures product on the CSI 300, SSE 50 and CSI 500 indexes will be defined as “abnormal trading” from Aug. 31, Zhang Xiaojun, a spokesman for the China Securities Regulatory Commission, said at a briefing on Friday. Previously, opening more than 600 new contracts met that designation, Zhang said. The CSRC has transferred 22 cases to the public security ministry, he said.