Guotai Haitong secured 10 bln yuan in the central bank's third securities/fund/insurance swap convenience facility (SFISF) at a 10bp bid rate, a materially larger allotment than its prior two wins. The firm has used its earlier SFISF quotas in full to boost A-shares and stock ETFs via repo financing backed by borrowed government bonds, and was the first securities company to deploy borrowed government bonds for repo to increase equity holdings. Guotai Haitong says it will promptly deploy the ful

Guotai Haitong secured 10 bln yuan in the central bank's third securities/fund/insurance swap convenience facility (SFISF) at a 10bp bid rate, a materially larger allotment than its prior two wins. The firm has used its earlier SFISF quotas in full to boost A-shares and stock ETFs via repo financing backed by borrowed government bonds, and was the first securities company to deploy borrowed government bonds for repo to increase equity holdings. Guotai Haitong says it will promptly deploy the full 10 bln following the swap and coordinate with peers to maximize the policy tool's market-stabilizing effect.