Category: Money Tips Date: 2007-05-31
Stock issuing the securities regulatory system means that the national regulatory authorities to develop the stock on the behavior of issuers subject to the sum of a set of rules, including the issuance assessment system, distribution system and the issue of pricing information disclosure system
Stock issuing the securities regulatory system means that the national regulatory authorities to develop the stock on the behavior of issuers subject to the sum of a set of rules, including the issuance assessment system, distribution system and the issue of pricing information disclosure system. Here we have from the efficiency, safety, just three aspects of the stock issuing system to be analyzed.
1, efficiency
Issuing regulatory efficiency of the system mainly refers to the distribution control system due to the efficiency of resource allocation. Distribution control system efficiency is an important part of the efficiency of securities markets. From China's current circumstances, China's current distribution system efficiency is still not satisfactory. Mainly manifested in most years, the operating results of listed companies has shown an overall deteriorating trend, its return on equity and earnings per share decline was evident. Compared with other non-listed companies, listed company's net return on assets and profit growth, and showed no obvious advantage, in recent years, but there are worse than the trend of non-listed companies.
Leading to inefficient distribution system due mainly to the following aspects.
(1) The governance structure of some companies there are serious flaws, such as the large proportion of non-tradable shares and exist "due to the dominance" phenomenon, the controlling shareholder "impersonal" illiquid corporate equity, corporate internal control failures and severe against the interests of small shareholders. From the equity point of view, China's current equity is a form of inefficiency, and not conducive to improving the issuer self-restraint arrangements. China's listed companies were bred in large numbers under the traditional planned economic system, state-owned enterprises, the principal owner of absence and "due to the dominance" phenomenon has its congenital. As a listed company's largest shareholder, state-owned shares it difficult to exercise the rights of shareholders. The rights of shareholders caught in the vacuum case, the listed company's rapid expansion of self-management of power exists the possibility of easily controlled by an internal situation, it is difficult to establish a good self-discipline mechanism.
(2) information the disclosure of non-symmetry and distortion. Issuance and listing of some companies hesitate to excessive packaging, in the preparation of the prospectus that may occur when selective disclosure (not sufficient), false disclosure (such as the exaggerated performance) and other undesirable behavior, leading to information asymmetry and distortion. At the same time, due to structural reform, especially in the administrative system reform has seriously lagged behind, making the current legal system is not a sound, legal constraints soften, the Securities civil liability is not yet clear, the disclosure of the information is untrue, not timely punishment of those responsible for the lack of intensity, making disclosure quality.
(3) The resource allocation function of the market has not yet fully realized. In general, only the listed companies can continue to investors (shareholders) to provide dividends in order to guide the investors in capital markets and establish the concept of investment rather than speculative, capital markets in order to act as an investment type of market, capital market efficiency in resource allocation in order to improve the efficiency of distribution system to be shown. As China's listed companies "a consistent pattern due to the dominance" and "owner of absence" phenomenon, medium and small shareholders in listed companies, the lack of due rights and status, it is generally not attach importance to the distribution of listed companies so as to retain a large number of dividends in cash, in this case, investors can only be the main source of profits trading spreads. The value of the stock, in large measure because it represents a spread of chips of those who, while the demand for such chips, far more than its market supply. In such a situation, a high premium on the stock is not surprising. At present, the issue price in the promotion of efficient resource allocation mechanism of the market system has not been fully established, this is a less efficient capital market in China run deep-seated reasons.
2, security
Distribution system security is able to filter out low-risk companies in the capital market to raise funds, in addition, should enable the issuer and the intermediary institutions reasonably expected consequences of their actions, and above the law or adverse effects on the capital market behavior can be corrected in time.
Over the past administrative examination and approval system makes China's capital market has accumulated a certain amount of potential risks.
One of the risks of some listed companies listed on indicators of fraud in history there have been several cases of fraud indicators listed on the vicious incidents.
As in June 1997, Hongguang Industrial formally listed below according to its prospectus, the company has recorded a profit for three consecutive years, is a good blue-chip growth companies. But the April 30, 1998, red light of the annual report, the company in 1997, the year the loss of 198 million yuan loss per share amounted to 0.863 yuan. After investigation, the fraudulent issuance and listing of company targets, to take a fictional product sales, product inventory and irregularities inflated unlisted processing means, will be the actual loss of 103 million yuan the year 1996, making a false statement for profit 54 million yuan, will be one the verge of bankruptcy of enterprises and packaging into a blue-chip companies. The company reported a loss of 4 days, its stock was the implementation of special treatment.
Similarly, there are Daqing friendship. Daqing Friendship by backdating documents, the relevant intermediary institutions to provide content false audit opinion, legal opinion, reporting material and equity managed to prove, in April 1997 to issue 5,000 million shares. After the implementation of approval system has not been found in obtaining a vicious events listed. Examination and approval system than under the quota allocation, approval system recommended by the lead underwriter, Fashen Wei audit, the manner approved by the securities regulatory authorities, making the screening out of companies, their risk in general at a lower level.
The second risk is a listed company after the listing of the performance "fade" happened frequently. In 2001, for example, suffer from a number of listed companies to 155 companies, of which "fade" Company 26, more than one-sixth. Face the phenomenon of frequent occurrence, increase the performance of risk, the problem was exposed, its shares are crashed down, seriously damaging the interests of investors.
The third is to randomly change the risk of raising funds to invest. For example, the Daqing Lianyi Company specified in the prospectus to be investment projects, after controlling shareholder used for other purposes has seriously damaged the interests of investors. This phenomenon in China's capital market is very common, greatly hurt the enthusiasm of investors triggered a crisis of confidence in capital markets.
The implementation of the sponsor system, the above-mentioned risks are expected to a certain extent, been contained. If the sponsor inadequate supervision, the responsibility of the sponsor during the period of severe major shareholders, directors or executives of listed companies occupied the interests of such phenomena, the sponsor will be jointly and severally liable. Therefore, the sponsor system, change "gateway-style regulation" as a "pipeline supervision", will be to some extent improve the approval system security. However, cases have occurred from the current perspective, whether there is sufficient capacity to sponsor jointly and severally liable, to be seen.
In addition, we should also be noted that from the current point of view, for the issuer occurred during the listing such as concealment, fraud or illegal acts, is still a lack of supporting laws and regulations necessary to support, the consequence of investors, especially small and medium investors the right to have been violated can not be in accordance with laws and regulations to hold the responsibility of the parties concerned, the interests of investors can not be guaranteed.
In practice, China's regulatory and legal system in part of a false statement on the issue of civil liability arising from to prosecute again, it was evidently lagged behind. Until January 2003, it introduced the "Supreme People's Court hearing the securities market because of false statements on civil compensation cases triggered a number of provisions," the attribution of the parties concerned the way specific provisions.
Therefore, in order to further strengthen the distribution system safety, better protect the interests of investors, China should accelerate the improvement of relevant laws and regulations, and implementation of effective judicial remedies. Otherwise, even if the current distribution system reinforced the responsibility of the issuer's information disclosure, but the situation of asymmetric information still exists on the issuers and intermediaries is not yet constitute an effective restraint, and not well guarded against the majority shareholder of the interests of small shareholders abuse, listed companies and intermediaries moral hazard is still very likely to occur. If this is the case for a long period of time can not be improved, it would lead to capital markets, systemic risk.
3, fair
The meaning of justice is one of a kind of distribution system should give equal protection of all shareholders; the meaning of the two refers to the different issuers use the same yardstick to measure. Both sponsors and investors in the interests of public unity, but also the interests of the contradiction, a reasonable distribution system set up and run, should help in the securities regulatory authorities and the issuer, the public investors to establish a balance between the , harmonious relations, so that the capital market in a orderly operation of the state.
In these circumstances, the public investors in relation to sponsors or other large shareholders, often in a weak position, so we review the distribution system, and mandatory information disclosure system are relatively weak in order to protect the interests of small and medium investors starting point, from this perspective, the existing distribution system to better reflect a fair position.
But from another perspective, because by the regulatory approval system under the substantive examination of the issuer to make value judgments, so inevitably there is room for individual discretion, it is difficult to achieve strict fair and impartial, and may lead to rent-seeking behavior, and lead to the occurrence of a certain degree of moral hazard.
