According to Wang Dongming, board chairman of the Citic Securities Co. Ltd. (600030.SH), although China Securities Regulatory Commission has not yet formally approved the company's cooperation with BEC.NYSE, Citic Securities has won support in principle from the commission. If the cooperation succeeds, it will be a milestone in overseas investment by security companies.
The case was announced on October 22, but has not been approved yet by both China and US security regulatory authorities. Because there are no other references, the approval of this new cooperative venture is a long process. But Citic Securities may get an easy start, according to the report from China Business News.
Wang Dongming believed that only through increasing overseas investments can financial risks from the domestic capital market be eluded. He suggested that further limitations on China's market entry into foreign security agencies be lifted in order to create a fairer environment for competition.
For more details, please read the full story in Chinese. (http://www.china-cbn.com/s/n/000004/20071212/000000084797.shtml)
(China.org.cn December 12, 2007)