The China Securities Regulatory Commission officially replied to approve pilot transfer of shares of equity investment and venture capital at the Beijing Equity Trading Center, Beijing's regional equity trading market.

This marks a new breakthrough in the construction of a national integrated demonstration zone for greater openness in the service sector and the China (Beijing) Pilot Free Trade Zone (hereinafter referred to as the Two Zones), and also reflects the policy advantages of the "Two Zones".

Li Yan, Deputy Director of Beijing Local Financial Supervision and Administration, noted that Beijing has an edge in spearheading the pilot as it is home to numerous institutional investors including social security funds, large-scale commercial banks, wealth management subsidiary companies, insurance companies, public offering fund, large-scale government investment fund and fund of funds, and high-net-worth investors.

In addition, Beijing is naturally positioned to be the pilot city of transfer of shares, because it is equipped with favorable business environment, high respect for the rule of law, large talent pool, advanced infrastructure for financial market, and tremendous strength in finance and technology.

Through the pilot project, Beijing will explore to build an industrial chain and improve supportive policies. Meanwhile, all stakeholders will earnestly observe the risk prevention and control requirements put forward by national regulatory authorities, and firmly hold the bottom line of private placement to admit only qualified investors. Thus, transfer of private equity fund shares will be utilized efficiently in the efforts of Beijing to serve development of the real economy, promote the dual-circulation development pattern, and deepen reform and innovation of the financial sector. (Note: Content source is from Beijing Daily)