China stocks are on fire, but for how long?

China's equity market has been on a tear, overtaking India to become the world's top performing major market on Thursday, but investors are starting to question how long the A-shares party will last.

The Shanghai Composite jumped 4.4 percent on Thursday, its biggest single-day percentage gain since December 2012, on speculation Beijing will turn on the stimulus taps again.

The benchmark index pared some gains in a volatile session on Friday, down 0.5 percent around 2,883 midday. 

The market, which is at its highest level in about 3 ½ years, is up 37 percent year-to-date, trumping the 35 percent advance in India's Sensex index.

Retail money is coming back into equity markets because investments that retail investors have been keen on in the past few years, like wealth management products (WMPs) or real estate, are not performing well