On September 24, Yangtze Power Co. Ltd issued China's first corporate bond online. It was valued at 400 million yuan and sold out within eight seconds.
A staff member with the Shanghai Stock Exchange said that they were really surprised by the great popularity of the bond's online sales. Before the corporate bond was issued, they did not have much faith in this kind of trading.
It is said that organizational investors such as insurance companies are the major purchasing forces of the bond. With risks in the stock markets increasing, organizational investors have begun shifting their attentions to bonds that are less risky. Besides, the Yangtze Power's bond with its return rate as high as 3.5 percent is highly appealing.
For more details, please read the full story in Chinese. (http://www.china-cbn.com/s/n/000002/20070925/000000079610.shtml)
(China.org.cn September 25, 2007)