Is The Gem Ready To Promote Registration Reform?

Is the gem ready to promote registration reform?

Surely this is also a question of many people.

Registration system in the domestic capital market for the first time in the Shanghai Stock Exchange Board launched less than a year, in addition to the reform of the issuing system and trading system, registration system under mergers and acquisitions, refinancing, delisting and other systems have not yet entered the stage of practice.

Reform is much faster than expected.

In the evening of August 18th, following the registration system of the science and technology innovation board, the capital market will usher in a heavy reform guideline. The CPC Central Committee and the State Council issued opinions on supporting the construction of the leading demonstration zone of socialism with Chinese characteristics (hereinafter referred to as the "opinions"), and supported Shenzhen's holding high the banner of reform and opening up in the new era and building a leading demonstration zone of socialism with Chinese characteristics. "The first is the first demonstration zone in Shenzhen.

The "opinions" specifically mentioned that improving the financial services' real economic capacity, studying and improving the listing and listing, refinancing and merger and reorganization system of gem, and creating conditions to promote the registration system reform.

This is also the first time that the top-level design level has promoted the registration system reform on the gem.

There is no doubt that no matter how the market anticipate the opening time of the registration system of gem, the reform of the registration system of the gem has begun.

So, is the gem ready to push forward the registration system reform?

From the perspective of the author's observation, the answer is yes, whether it is the preparation of the Shenzhen Stock Exchange, the promotion of the supporting system of the capital market, and the mood of the market.

2019 is undoubtedly the first year of the registration system, but this does not mean that the preparations for the Shenzhen Stock Exchange started this year, starting from the publication of the "opinion".

In the past few years, the domestic capital market has been trying to promote the registration system reform, and the preparation of registration system reform can be said as early as possible.

For example, the Shenzhen Stock Exchange in 2015 has publicly made preparations for the registration system reform. At that time, the Shenzhen Stock Exchange said that it should seize the opportunity of registration reform, and promote the policy of not yet profitable Internet and hi-tech enterprises listing.

At the same time, the Shenzhen stock exchange actively sought the introduction of supporting measures, including promoting the inclusion of the VIE structure, intertemporal equity incentives, and gambling agreements by the SFC and the relevant ministries.

At the same time, the pilot experience of the registration system reform of the science and technology innovation board is also an important reference for promoting the registration system reform of the gem. With the anchorage of the registration system reform of the Chuang Chuang plate, the registration system reform of the gem can safely set sail.

All along, behind the slow progress of the registration system is the lack of follow-up in the capital market matching system, such as the revision of the securities law.

Nowadays, the capital market system environment for the reform of gem registration system has been greatly improved compared with the past. For example, the securities law has added numerous registration details in the three instance, which has removed the obstacles to the registration system reform in other sectors.

In addition, in the middle of this year, the SFC announced that it would seek public opinions on Amending the management measures for major asset reorganization of listed companies. The most important reform is to allow the gem to be reorganized and listed.

It is worth noting that the SFC recently proposed 12 measures to comprehensively deepen reform, which will further accelerate the capital market policy supply in the coming period, and provide a favorable institutional environment for the registration system reform of gem. This also means that registration system reform and gem registration system reform are no longer a single soldier rush.

More importantly, the market is ready.

In the promotion of China's capital market reform, market sentiment and guidance of public opinion play an important role. This invisible factor directly affects the trend and expectation of many policies.

For a long time, the market talked about the registration system, and the registration system and IPO were considered bad news for the index market. The mood of the market and the sensitivity of public opinion to a large extent are important factors in the slow development of registration system in the past few years. In the past few years, all parties in the market are working hard to correct the market expectations of IPO and registration system, and strive to break away from the "index theory".

One important step is the "IPO normalization" reform, which was vigorously promoted by the SFC in 2017. After many rounds of market debates, it has always maintained the pace of issuing the trial rhythm, and finally broke the situation that the public opinion index interfered with the IPO issuing rhythm. After IPO's emotional desensitization, the sensitivity of the market to the registration system reform and the market index also decreases.

In addition, with the trial of this year's registration system, the market participants were able to focus on their own market and break down the good or bad of the registration system, rather than simple speculation and simple emotional release. After the actual operation of the science and technology board for a period of time, the market's understanding of the registration system has become more and more sufficient.

According to the author's observation, the market has fully digested the expectation of registration reform, and the mood of most market participants has also changed from resistance and doubt to neutral wait-and-see and positive expectation. The market has gradually realized that registration system reform is not a scourge, but a step forward in the development of China's capital market.