Galaxy Securities to revisit A-share listing

Two brokerages have been given the regulator's lowest rating, underlining the regulator’s determination to get tough on wrongdoing by IPO sponsors.

The broker's frozen client accounts are held by an entity suspected to be involved in a fraudulent scheme to create a false or artificial appearance of demand for shares in an IPO, the SFC said.

The Galaxy Orientis fund has raised $520m out of a $1bn target from China Investment Corporation, Indonesia Investment Authority and State Oil Fund of the Republic of Azerbaijan. The PE fund is eyeing investments across the Asean-China corridor.

The two large listings are adding to a sense of optimism, in particular in India and Hong Kong, with Taiwan enjoying a record year so far; and occurred before the US Fed cut rates.

Chinese regulators are rumoured to be considering a move to Dutch auctions in a bid to curb the continued overpricing of many A-share IPOs.

The bank enters the country's futures market after its securities brokerage business weakens.