Article: PRICE WAR LOOMS OVER CHINA'S BROKERAGE HOUSES.

SHANGHAI, April 29 Asia Pulse - A price war which has rocked China's consumer electronics and car industries, is about to strike securities houses.

The war began following the China Securities Regulatory Commission's decision to lower the commission for stock trading from a rigid 0.35 per cent to a flexible maximum of 0.3 per cent, starting from May 1.

In an immediate reaction, Jiangnan Securities said it would no longer charge commissions on each transaction, but rather an annual fee based on the capitalization of a customer's shares under its custody.

For example, a customer with shares worth less than 100,000 yuan in capitalization will pay ...

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