Stock sale ban draws scorn from money managers

New York

TEMPLETON Emerging Markets Group calls it an act of "desperation". UBS Wealth Management labels it "extreme". And Wells Fargo Funds Management says it just "postpones the inevitable". China's decision to ban major stockholders from selling stakes in listed companies has drawn scepticism from foreign investors.

The money managers, with combined assets of almost US$4 trillion, say the latest step to stem the country's equity rout is just another measure to meddle in the market and won't be enough to restore investors' confidence.

"It suggests des…