On 16 October 2012, the China Securities Regulatory Commission ('CSRC') issued the Amended Rules on the Establishment of Foreign-Invested Securities Companies (CSRC Decree NO.66) to further open China's securities market to foreign investors.
In accordance with the newly amended rules, the shareholding gap for foreign investment in Chinese securities companies may be raised from 33% to 49%. However, foreign investors are not permitted to become the controlling shareholders of any securities firm in China; at the same time, the shareholding gap of any single foreign investor and all foreign investors in one listed domestic securities firm remains unchanged with 20% and 25%, respectively.