Foreign demand for A shares expected to escalate in 2017

UBS Group AG said on Monday that the trading volume of China's A shares by its overseas clients will likely double in 2017, as China continues to liberalize its capital markets, according to a senior executive of the Swiss bank.

The projection of greater foreign participation in the A share market was based on the low trading volume in 2016, due to the sharp volatilities.

The expectation of a further opening up of the market, including the possible inclusion of A shares into the MSCI global benchmark index this year, is also expected to stimulate foreign demand.