A former top Chinese securities regulator said more study is needed before China can go ahead with two systems that would give local investors² limited opportunities to invest in foreign companies, the China Securities Journal reports.

Liu Hongru, a former chairman of the China Securities Regulatory Commission, said further study is needed on the so-called qualified³ domestic institutional investor¹（QDII）system and China depositary receipt（CDR）system because they would affect the country's capital control policy and pose other problems, the paper says.

But Liu also said the systems would ultimately be beneficial for China because they would help local investors diversify⁴ their portfolios⁵, according to the paper.

一位中国证券前高层监管人士说，中国在实施QDII和CDR两个机制前，还需进行更多的研究工作。两个机制的实施将为当地投资者投资于外国公司提供有限的机会。

报导称，中国证监会（China Securities Regulatory Commission）前主席刘鸿儒表示，在合格境内机构投资者机制（qualified domestic institutional investor, QDII）和中国存托凭证（China depositary receipt, CDR）机制实施以前，还需作进一步的研究工作。因这两个机制的实施可能会影响到中国的资本控制政策和引起其它问题。
但刘鸿儒还表示，两个机制的实施将有助于当地投资者进行多样化的投资组合，从而最终使中国受益。

QDII机制将允许中国国内投资者通过某些基金投资于外国股票；而CDR机制将允许外国股票以存托凭证的方式在中国股市上市