China has set explicit requirements for public offering funds and commercial insurance funds in their A-share investments, as part of efforts to boost medium- and long-term funds' flow into the capital market.

Chinese financial authorities have unveiled a plan for encouraging medium- and long-term funds to enter the capital market to further stabilize stock performance.

Under the plan, public offering funds are required to increase their A-share holdings of circulating market capitalization by at least 10% annually over the next three years, Wu Qing, chairman of the China Securities Regulatory Commission, told a press conference Thursday.

For commercial insurance funds, large state-owned insurers are encouraged to allocate 30% of their newly added annual premium incomes for A-share investments starting in 2025, he added.