Category: Money tips Release Date: 2007-03-02
There are currently two stock exchanges in China: Shanghai Stock Exchange and Shenzhen Stock Exchange. The two exchanges have taken membership, their membership by absorbing securities institutions to form a self-regulatory membership organization.
Membership for membership to the stock exchange, and only its members can be traded in the Exchange. Member of a stock can only be a securities institutions, however, securities institutions to become members must first meet certain conditions, in general, stock exchanges from the business scope of securities institutions, securities working capital, take risks, and responsibility for the qualifications and capabilities, organizational structure, personnel quality and so provided the conditions for membership. Shanghai Stock Exchange and Shenzhen Stock Exchange, the provisions of this basically the same.
Rights and obligations of membership
1. Stock Exchange, members can enjoy certain rights, mainly in the following areas:
(1) to participate in general meetings; (2) the right to vote and be elected;
(3) stock exchange affairs of the proposal and voting;
(4) to participate in organized stock exchange securities transactions, stock exchange to enjoy the services provided;
(5) on the Stock Exchange affairs and supervise the activities of other members;
(6) seats in accordance with the provisions of the transfer transaction.
(7) other corresponding rights.
2. Stock Exchange members also need to assume certain obligations, mainly in the following areas:
(1) to comply with the relevant national laws, regulations, rules and policies, according to the law to carry out securities business activities;
(2) to comply with stock exchange statute, all rules and regulations, implementation of the Stock Exchange, resolution;
(3) to send a qualified representative of admission to engage in securities trading activities (Shenzhen Stock Exchange are exempt from this requirement);
(4) to safeguard the legitimate rights and interests of investors and stock exchanges to promote the stable development of market;
(5) pay all expenses in accordance with the regulations and the provision of relevant information, as well as related business reports and books;
(6) to accept the supervision of stock exchanges.
(7) other related obligations. Members who do not meet their obligations, stock exchanges have the right to the severity of the circumstances to give a certain degree of punishment.
Membership application and approval of a securities institution to become a member of a stock, its application procedures are as follows:
1. Securities institutions will be members of the material submitted to the Stock Exchange management;
2. Stock Exchange membership of the above-mentioned materials management department of first instance;
3. Stock Exchange membership management department of First Instance, will be reported to the Board of successful applicants by the Council for approval. Suspension of membership and withdrawal of members to participate in floor trading suspension above disposition approval, the stock exchange the Board's authority; while the cancellation of membership and other major disposition of the review of the stock exchange member of the General Assembly's authority.
