China’s securities regulator has launched a crackdown on illegal cross-border stock trading, targeting offshore brokerage platforms that allow mainland investors to access foreign markets without authorization. The move, Bloomberg reports, focuses on tightening capital controls and shutting down unapproved overseas trading channels.
Authorities said firms such as Tiger Brokers, Futu Holdings, and Longbridge Securities may face penalties and confiscation of illegal gains for facilitating these activities. The effort is aimed at reinforcing rules that limit how Chinese investors can trade foreign securities outside approved programs, and it has already weighed on related brokerage stocks.
