Stock Buybacks, China Style: Get Your Workers to Buy Shares 

 

2017-06-09

 

(Bloomberg) -- 

 

‘Very Clever.That’s good news for speculators, who are attracted to the equities because short-term gains are “almost guaranteed,” said Yin Ming.

 

“Management at these companies will strive to keep share prices above key levels, effectively setting a floor for the stock,” he said. “They are very clever to have discovered this method, which requires nothing more than a verbal assurance to the market. People seem to be buying it, for now.”