Chinese private offering funds can open security accounts and invest in the A-share market, according to a statement released by China Securities Depository and Clearing Co Ltd on Tuesday night.

The statement also said private offering fund managers cannot apply to open accounts for funds that specialize in subscribing new shares or investing in stocks under special treatment.

Previously, private offering funds could only have security accounts under the names of their companies or trust products, and the operations cost was high.

Industry experts said the new move is good for the healthy development of private offering funds and the multilevel capital market in China.

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