(Yicai Global) Jan. 27 -- With China’s stock market in the doldrums since the start of the year, more leading asset management firms disclosed plans to buy their own fund products to boost investor confidence.

Six asset managers set out their intentions today to buy back products worth CNY550 million (USD86.6 million). Among them, E Fund Management, China’s biggest, said it will invest CNY100 million in its own equity funds.

Other firms to release plans were GF Fund Management, FullGoal Fund Management, Harvest Fund Management, Southern Asset Management and China Universal Asset Management.

Since Jan. 1, the Shanghai Composite Index has fallen 6.8 percent, while the Shenzhen Component Index and ChiNext Index have tumbled 9.8 percent and 12.5 percent, respectively.

The six asset management firms all promised that they will hold the funds for a long time, with a minimum period ranging from one to three years.

Several other firms had previously disclosed buy-back plans. Zhong Ou Asset Management said yesterday that it will invest CNY50 million to buy its own funds and hold them for more than three years. HuaAn Fund Management also stated yesterday that it would purchase at least CNY50 million of its funds.

According to Wind statistics, as of Jan. 25, China’s asset managers had spent CNY390 million snapping up their own products since the start of 2022. The figure includes the CNY10 million capital required to establish a seed fund, but excludes planned buybacks.

Editor: Peter Thomas