Investor confidence remains stable thanks to the State Council's balancing economic policies, according to a survey by China Securities Investor Protection Fund Co Ltd, the China Securities Journal reported.

The investor confidence index in July stood at 44.4, a slight fall of 1.55 percent compared to the previous month.

The survey found that confidence was stabilized by the State Council's major economic measures in July: suspending value added and sales tax for small businesses, facilitating exports, and accelerating railway construction in central and western areas.

Sub indexes, on international finance and stocks, also fell slightly.

Investors have less confidence in the fundamentals of the domestic economy and economic policies.

The domestic economy index is 33.3, down 3.2 points from the previous month, while the economic policy index is 39.2, down 4.1 points from June.

Just 17.39 percent of investors believe that the fundamentals of the domestic economy will have a positive impact on stocks in the next three months while 43.93 percent see a negative impact.

About 42 percent of investors believe share prices do not reflect the real value of companies.