The Shanghai Stock Exchange (SSE) has made amendments to its trading rules that will take effect in December.
Thresholds for block trading are being lowered to encourage more investor participation.
The thresholds for block trading of China A and B shares, will be reduced to approximately 60% of their former levels. The lower limit for block trading of A shares is adjusted from 0.5 million shares (approximately RMB 3 million), to 0.3 million shares (RMB 2 million).
The threshold for block trading of B shares is adjusted from 0.5 million shares to 0.3 million shares.
Levels for the block trading of treasury bonds and repurchases of bonds will be decreased to the same levels as those for other types of bonds. Block trading of treasury bonds and bond repos is adjusted from 10,000 lots, (RMB 10 million), to 1,000 lots.
In addition, buyers and sellers will be allowed to trade at closing prices in the market or at weighted average prices based on intra-day trading volume. The exchange says this will meet the transparency requirements of institutional investors.