SHANGHAI (Reuters) – Overseas investors have a tendency to hold yuan-denominated assets, which assists to explain chinese people currency's strength against a backdrop of weakness in some other currencies, Fang Xinghai, vice chairman within the securities regulator, said on Thursday.

Fang also said the China Securities Regulatory Commission (CSRC) was working toward a mechanism to increase the inclusion factor for Chinese shares in MSCI indexes to 15 percent from 5 % at the earliest opportunity.

Fang, speaking at a financial forum in Shanghai, didn’t give further details.