Almost 80 percent investors believe the current China's A-share is worth investing, according to an index jointly compiled by the US Yale University and the China Center for Economic Research (CCER) under the Beijing University.

The China Securities Journal made the report on Wednesday.

The Yale-CCER index, showing Chinese securities investors' confidence, indicated that nearly 80 percent of investors believe that the average stock price in A-share market is low and relatively reasonable, the newspaper said.

Most institutional investors believe that the ongoing split share reform, which stimulates speculation on shares involving in pilot reforms, is the main factor causing the recent market fluctuation, according to the research by Yale University and CCER.

The reasonable level for the Shanghai Stock Composite Index should be around 1,260 points, and the share reform process will decide the market performance in the near future, the newspaper quoted the research as saying.

In September the Yale-CCER confidence index reached 78 points, up 15 percent from that in July, the newspaper said.

The survey shows 60 percent investors believe the share price fluctuation, mainly caused by speculation and overact to market information, does not reflect the economic situation and corporate performance, it reported.

The confidence index on institutional investors was 77.54 points in September, while that on individual investors was 78.81 points. In July the two figures were 70.54 and 66.67 points respectively.

This shows institutional investors are more cautious than individuals in evaluating the stock market value, it said.

China decided this year to end the split share structure, which was seen as the major problem in China's stagnant stock market as a large part of the shares were not allowed to be traded on the market.

The government has launched two rounds of pilot reforms and now started the share reform in full swing. The Composite Stock Index on the Shanghai Stock Exchange closed at 1,212.62 points on Tuesday.

Source: Xinhua