Rely on the most comprehensive, up-to-date legal content designed and curated by lawyers for lawyers
Work faster and smarter to improve your drafting productivity without increasing risk
Accelerate the creation and use of high quality and trusted legal documents and forms
Streamline how you manage your legal business with proven tools and processes
Manage risk and compliance in your organisation to reduce your risk profile
Stay up to date and informed with insights from our trusted experts, news and information sources
Access the best content in the industry, effortlessly — confident that your news is trustworthy and up to date.
With over 30 practice areas, we have all bases covered. Find out how we can help
Our trusted tax intelligence solutions, highly-regarded exam training and education materials help guide and tutor Tax professionals
Regulatory, business information and analytics solutions that help professionals make better decisions
A leading provider of software platforms for professional services firms
In-depth analysis, commentary and practical information to help you protect your business
LexisNexis Blogs shed light on topics affecting the legal profession and the issues you're facing
Legal professionals trust us to help navigate change. Find out how we help ensure they exceed expectations
Lex Chat is a LexisNexis current affairs podcast sharing insights on topics for the legal profession
The Chinese stock market has fallen dramatically in the past month, culminating in more than $3trn being wiped off share values. Linda Yueh, Fellow in Economics, Oxford University and Adjunct Professor of Economics, London Business School, examines the crisis in more detail and assesses its impact on the UK economy.
China: CSRC taking further measures to stabilise markets, LNB News 13/07/2015 21
City AM, 13 July 2015: The China Securities Regulatory Commission (CSRC) has issued new rules as it attempts to stabilise markets, following sell-offs which wiped trillions of dollars’ value from Chinese equities.
What has led to the stock crisis in China?
Global markets were weakening and the government clamped down on margin lending (whereby the broker can make a demand for more cash or other collateral if the price of the securities has fallen) to buy stocks, so unsurprisingly China’s stock markets followed suit. Because some 85% of trades are rather unusually done by retail investors, China’s stock market experiences high volatility since it is more likely to follow ‘herd’ behaviour. Small investors assume that others have better information, so when selling (or buying) happens, there is herd-like movement as investors pile in. The market has also risen sharply (up to over 150% in the past year and is the best performing major market in the world), so some want to cash in, which leads others to do the same. To put it in context, the market is still up from the start of the year despite recent dramatic falls.
What are the challenges with th
Access this article and thousands of others like it free by subscribing to our blog.
Read full article
Already a subscriber? Login
0330 161 1234