Machine industry a popular choice for fund investors

Fund agency reports for the third quarter have all been released at this point. The insurance and real estate sectors experienced large amounts of holdings reductions, but the machine industry is popular among investors.

Figures show that, by the end of September, the market value of the finance and insurance sectors took up more than 24 percent of the total stock market investment from fund investors. That's slightly down from a 28 percent mark at the end of this year's second quarter.

But the machinery sector has seen its stocks chased by many fund buyers, thanks to a strong industry-wide performance.

The sales volume in the machine industry hit approximately 180 billion yuan in the first nine months of 2009, up 16 percent from a year earlier, and the growth rate is increasing. Some companies even saw their year-on-year sales double in October.

Representative of Machine company said "Our products are in short supply. It costs more than 40 million yuan for each set. Our products in the next year have all been booked."

Representative of Machine Company said "We are producing more digging and loading machines to meet demand. The market share of our products increased a lot this year."

Experts say the government's policies to stimulate domestic demand have taken effect. A large number of new projects have supported sales growth in the machine industry. Moreover, the country's stimulus package for the machinery sector helped China's products maintain a price advantage in exports, and improve in quality, so many investors are confident about the industry's future.