Chinanews, Beijing, Mar. 30 – Chinese public are more willing to put their money in the securities markets. The People’s Bank of China on Wednesday publicized a survey report about depositors in cities. The report shows that during the first quarter of 2007, people’s enthusiasm for shares and funding products hit historical new highs. In particular, the proportion of funds has reached a record high level among all types of financial products that depositors have.

 

The report shows that although most Chinese still regard saving as the major form to manage their financial assets, the proportion of people who stuck to this traditional view had declined for three consecutive quarters last year. In the first quarter of 2007, such proportion even has reached 59.4%, the lowest point since 1999.

 

The bullish stock market has made many people to withdraw their savings from banks and put them into the stock markets. As a result, residents savings have continued to drop, the People’s Bank of China explained.

 

The survey shows that of all the major financial products that residents have, the proportion of “stocks” has risen two percentage points, and the proportion of funding products has risen at an even faster speed, from 10% during the last quarter to the present 16.7%, 6.7 percentage points more than the last quarter and 12.7 percentage points more than the same period last year. Such percentage points also hit a new historical record ever since the investigation was kicked off in 1999.

 

In light of the current commodity prices and interest rates, 30.3% of the respondents think it is most suitable to use their money to buy shares or funds now. The proportion of people holding such views has increased by 11.7 percentage points compared with the previous quarter, and also hit a historical new high.