What is one key responsibility of the CSRC in market oversight?

The key responsibility of the CSRC, which stands for the China Securities Regulatory Commission, in market oversight is monitoring trading practices. This involves ensuring that the securities markets operate fairly and efficiently while protecting investors. Monitoring trading practices includes supervising market activities to detect and prevent illegal actions such as insider trading, market manipulation, and other forms of fraud or misconduct that can harm the integrity of the market. By focusing on this aspect, the CSRC helps to maintain public confidence in the financial system and promotes healthy market development.

The other choices do not align with the primary functions of the CSRC. Encouraging fraud, for instance, is completely contrary to the commission’s goals and responsibilities. Establishing monopolies goes against competition laws and regulations, which aim to foster a fair market environment. Providing investment advice is not a direct regulatory responsibility of the CSRC, as its role is more about oversight rather than giving personalized financial guidance to investors.