China published on Monday its provisions on consultancy services for investment in securities aspart of its efforts to regulate the sector and protect the legitimate interests of investors.

China Securities Regulatory Commission said some institutions offering those services, mostly through mass media, had been blamed for irregularities in the sector, such as making promises of fixed returns on their investment to attract members.

By the end of last year, a total of 53 institutions in China had offered services for profits for members of its clients, the commission said, adding that some institutions have up to several thousand member clients.

According to the regulations made public by the China Securities Regulatory Commission, institutions providing those commercial services for members of clients should obtain qualifications for offering those services and membership of the Securities Association of China.

Staff members and analysts working for those institutions should get licenses or similar qualifications to qualify themselves for their jobs, or they will face punishment, accordingto the rules, which will be effective as of Jan. 1, 2006.

Under the rules, institutions providing those services will be put under supervision of securities watchdog.

Source: Xinhua