Category: Money tips Release Date: 2006-04-24
The new "Securities Act" In order to enhance investors, especially small and medium investors to protect the legitimate rights and interests, taking into account internationally accepted practices, for the first time from the legal level established in the securities investor protection fund system. The new "Securities Law" section 134 provides that: countries have set up the Securities Investor Protection Fund. Securities Investors Protection Fund securities firms paid by the funds and other funds raised according to the constitution, raising, management and use of specific measures by the State Council. This provision is China's establishment of the Securities Investor Protection Fund, the legal basis for the majority of the securities investors, especially small and medium investors to protect the interests of laying a legal basis.
Securities investor protection fund system began around the seventies of the last century. At present the world of investor protection funds are mainly two modes: first, to establish an independent Investor Protection Corporation, is responsible for the establishment and daily operation of the Fund, the United States, Britain, Germany, using the model; two by the exchange or securities Association initiated the establishment of the Fund and is responsible for daily operation, Canada, Australia, Singapore, and China's Hong Kong and Taiwan, such as using this mode.
China's securities companies for risk prevention, in recent years, the State in protecting the interests of investors has taken a variety of measures, such as the establishment of a more secure client assets of depository system, improve the normative acts of the securities trading system company, severely dealt with a diversion investor assets, illegal acts decisively disposed of high-risk securities companies, securities firms exit the implementation of the system. Set up investor protection fund, and disposal of securities firms to guard against the risk of an ultimate measure to protect investors, not only help to strengthen the capital market investors as well as confidence in the financial system, but also help prevent the occurrence of the risk of securities firms and proliferation.
Securities Investor Protection Fund, a securities regulation system innovation. In the daily operation of Securities Dealers, the protection of the fund will become in the government regulation, stock exchange and the Securities Industry Association and self-discipline, the addition of a layer of standard protection mechanism. In closing liquidation of Securities Dealers, the Conservation Fund has become a change in a single "state pays the bill" to "market" as a new exit mode, helps to improve investor protection mechanism to promote the risk of securities firms and disposal of long-term mechanism to prevent the formation of .
Securities Investor Protection Fund consisting of funds raised by law. According to the departments concerned have been formally promulgated by the end of June last year, the "Securities Investors Protection Fund Regulations", the source of funds, including Shanghai and Shenzhen Stock Exchange, respectively, in the Risk Fund under the cap, the transaction handling fee of 20% into the fund; all registered in China securities companies, their operating revenues 0.5% - 5% of the proportion of paid funds (management, operational level poor, high-risk securities companies should be paid according to a higher proportion of the fund. the securities companies The specific payment rate from the fund company under the securities company's risk status is confirmed, reported that the SFC's approval and subject to annual adjustment); issue stock, convertible bonds and other securities, purchase the freezing of funds, interest income; according to the recovery of the responsible party income and from the bankruptcy liquidation of the debt service securities firm income; domestic and foreign institutions, organizations and individuals donations; and other legitimate income. Fund was established, the Ministry of Finance over the years stored in a special account to subscribe for new shares carry the balance of the freezing of funds, one-time classified, as the fund company's registered capital; Bank of China issued a special re-lending arrangements, advance the Fund's initial capital.
Securities Investor Protection Fund raising, management and use of funds by specialized companies. By the State Council's approval, the China Securities Investor Protection Fund Co., Ltd. was established in September 2005, its responsibilities include: raising, management and operation of funds; to monitor the risk of securities companies, securities firms involved in risk management efforts; securities firm is revoked, close and the Official Receiver or the SFC has adopted administrative receiver, custodian business and other mandatory regulatory measures, in accordance with relevant state policies and regulations to be paid to creditors; organization, participation is revoked, closing or bankruptcy liquidation of securities companies; management and disposition of assets, repayment of to maintain the fund equity; found that the management of securities companies appear likely to endanger the safety of the interests of investors and securities markets, a major risk to the SFC proposed to monitor and disposal recommendations; securities companies operating on the potential risks that exist in conjunction with relevant departments to establish a mechanism to correct ; and other duties as approved by the State Council.
Investors in securities investment activities due to stock market fluctuations and investment products caused by changes in the value of their losses borne by investors, are not included within the scope of protection Protection Fund.
