China’s State-Backed Funds Have Bought $57 Billion of Stocks, UBS Says

(Bloomberg) — China’s state-backed funds have poured more than 410 billion yuan ($57 billion) into onshore shares this year to prop up the market, according to estimates by UBS Group AG, which expects further purchases.

The Swiss bank based its calculations on “excess” transactions by 54 Chinese exchange-traded funds. More than 75% of the inflows went into products tracking the benchmark CSI 300 Index while another 13% flowed to those mirroring the CSI 500 Index, according to strategists including Lei Meng.