attract quality overseas enterprises in China’s stock market listing of the international board, is an inevitable phenomenon in the development of the market. However, when introduced? Launched what way? Is uncertain and ambiguous. Precisely because of the China Securities Regulatory Commission is always in doubt or position ambiguous, leading to domestic and foreign organizations often take the opportunity to play, and constantly short of China’s A shares, so that the majority of shareholders to suffer.from the truth, launched an international board is the general trend is the need to establish an international financial center in Shanghai A shares to internationalize needs. The China Securities Regulatory Commission officials on different occasions in early 2010 proposed to launch an international board, and say all kinds of conditions are ripe. However, time has passed for more than two years, has not a definite time, when available on the international board is still ambiguous. Notes, uncertainty is the biggest risk.
this ambiguity is very unfavorable to the healthy development of China’s stock market investors irresponsible. If the international board is always long-awaited, always said that no definite timetable, will bring three serious consequences:
One of the consequences to the inside and outside the big speculative funds shorting opportunity of the Chinese stock market. Whenever the Chinese stock market in a difficult time, institutional speculators always spread rumors that the wolf, scared investors continue to liquidate the flesh, then the management out of the rumor, the impression is jointly robbing. If you can clear timetable, we have clear expectations, it is impossible to institutional speculators to too many chances, can also be appropriate to reduce the chance of shorting.
consequences of the two shareholders hearts shadow of lingering, short is expected to be intensified. In this case, on the one hand, the functionality of the Chinese stock market financing is difficult to effectively play a role, on the other hand makes the liquidity transfer to speculation on real estate, commodities, luxury goods and even necessities of life, difficult to control inflation down.
consequences, so that the majority of shareholders and institutional investors (including social security funds, including funds prop up the market) and greater loss, leaving the part of foreign capital took the opportunity to buy the dips to get a lot of benefits.
Therefore, I strongly recommend that regulatory authorities should be given an explanation of the international board, in particular, a clear international board introduced the general time, for example, in December 2012. This uncertainty has been estimated, we can take appropriate measures to avoid risk. I propose the securities regulatory authorities, the revitalization of A shares requires wisdom and courage, as long as the main conditions are ripe, they should be decisive action; Moreover, it is necessary to minimize the uncertainty, the less the chance to institutional speculators short.
NetEase statement: NetEase reproduced above for the purpose of transferring more information that confirmed the description or agree with their views. The article content is for reference only and does not constitute investment advice. Investors pursuant to operate your own risk.
Securities News – the NetEase Channel