China is guiding its local mutual funds and insurers to boost investments into stocks in the government’s latest initiative to shore up its ailing equity market.

Mutual funds should raise their holdings of onshore equities by at least 10% annually for the next three years, while large state-owned insurers will need to invest 30% of their new policy premiums from 2025, Wu Qing, chairman of the China Securities Regulatory Commission, said at a press conference on Thursday.

The benchmark CSI 300 Index rose 0.8%, while the Hang Seng China Enterprises Index, which tracks mainland stocks listed in Hong Kong, climbed 0.3%. China brokerage and insurance stocks also rebounded.

“This policy is quite beneficial to Chinese equities, especially for those state-owned enterprises stocks with high dividend yields,” said Jason Chan, senior investment strategist at Bank of East Asia. “The requirement of 30% of new insurance premiums being investing into stocks is quite surprising, as normally 15%o-20% of insurers’ portfolios are invested in equities.”

Chinese stocks have been under pressure in recent months amid fears over a prolonged economic slowdown and the threat of higher tariffs by new US President Donald Trump. Traders have grown increasingly disappointed at Beijing’s piecemeal stimulus efforts and have questioned the potency of the measures introduced so far.

Concerns about the economic malaise and escalating trade tensions caused the MSCI China Index to enter a bear market this month. The CSI 300 Index of mainland-listed shares dropped 3.5% this year through Wednesday, making it among the worst performers in Asia.

China on Wednesday had rolled out a basket of measures to stabilize its stock markets, including plans to boost the amount pension can invest in the nation’s listed companies. The central bank in September said would set up a swap facility allowing securities firms, funds and insurance companies to tap liquidity from the central bank to purchase equities.

The CSI 300 fell on Wednesday, snapping a four-day winning streak, after Trump said his threat to impose 10% tariffs on the nation’s goods was still being considered and may take place next month.