The new securities law embodies the attitude of reform and innovation, and the legalization of securities trading and regulatory activities has been further improved. Guo Li, a law professor at Peking University, told the first financial reporter that it is particularly important to safeguard market order and discipline after the implementation of the new law.
Tang Xin, a law professor at Tsinghua University, said that to crack down on illegal acts and implement investor protection, the substantive and procedural provisions of the legal liability system in the new law need to work together, as well as the strengthened administrative legal liability system to form a joint force.
The implementation of the new law will turn a new page in the history of the development of Chinas capital market. Dong Dengxin, director of the Institute of financial securities of Wuhan University of science and technology, told the first financial reporter that the full implementation of IPO registration system in the future will completely change the investment concept, regulatory concept, market culture and market ecology of A-share market.
Concurrent approval and registration
After the implementation of the new securities law, the new share issuance approval system will be parallel with the registration system for some time. The above notice makes it clear that before the registration system is implemented, the relevant plates can continue to implement the approval system in accordance with the provisions before the amendment.
In terms of registration system, the CSRC will further improve the relevant rules and regulations of science and technology innovation board, improve the transparency of registration review and optimize the working procedures in accordance with the securities law and implementation opinions. At the same time, it will study and formulate the overall plan for the registration system reform of gem, and timely put forward the reform plan for the registration system of other sectors, which will be submitted to the State Council for approval and implementation.
The circular also requires the relevant departments to earnestly implement the revised Securities Law and take effective measures to protect the legitimate rights and interests of investors, especially small and medium-sized investors. We should actively cooperate with the judicial organs, steadily promote the system of securities civil compensation litigation brought by investor protection institutions on behalf of investors, and promote the improvement of relevant judicial interpretations. Strictly implement the provisions on information disclosure, improve the relevant rules, clarify the conditions of information disclosure media, do a good job in the transition before and after the revision of the rules, and protect the investors right to know in accordance with the law.
The new law has come into force, and the relevant rules and regulations need to be sorted out and improved. The CSRC, the Ministry of justice and other departments shall carry out special cleaning of the administrative laws and regulations related to the securities law, and timely put forward suggestions for revision. According to the above notice, the relevant departments shall, in accordance with the new requirements after the revision of the securities law, promptly organize and clean up the relevant rules and regulations, do a good job in legislative reform, abolition and interpretation, and do a good job in policy convergence.
Guo believes that in the future, the registration system will be implemented in more market sectors, and relevant exploration and practice will continue, which will help to play the role of capital market value discovery.
On March 1, the CSRC and the Shanghai and Shenzhen stock exchanges announced the implementation arrangements for the new securities law. It can be seen from these arrangements that a new round of reform will be ushered in in many areas in the future.
At present, Shanghai and Shenzhen stock exchanges have started the formulation and revision of supporting rules. As mentioned above, listing rules are facing comprehensive revision, and voluntary information disclosure business guidelines are also under study. In terms of delisting, the main board delisting system reform will be launched. In terms of transactions, the rules for abnormal transactions will be refined, the system for reducing holdings will be evaluated and improved, and the reporting system for procedural transactions will be established. In terms of investor protection, the Shanghai Stock Exchange will strengthen self-discipline supervision, and at the same time, the exchange will provide support for the specific implementation of such systems as class action, supporting litigation, compensation in advance, and ordering to buy back.
Shenzhen Stock Exchange revealed that it will promote the implementation of the gem registration system reform pilot. At present, it is promoting the formulation of the overall plan of the gem pilot public offering registration system, studying and improving the system of IPO and information disclosure, and expanding the boards inclusiveness and coverage. Shenzhen will also launch a round of delisting system reform.
Parallel will not be indefinite
How long will the approval system go hand in hand with the registration system? A number of experts interviewed by reporters predict that a full registration system may take two to three years.
From the legislative level, the registration system has replaced the approval system, but in order to smooth the transition, the regulatory authorities set a transition period for the full implementation of the registration system. On the basis of the pilot registration system of the science and technology innovation board, it is expected that this year, the registration system will be implemented on the growth enterprise board, and then on the small and medium-sized board and the main board. Dong Dengxin predicted that based on the successful promotion of the registration system reform of science and technology innovation board, the IPO registration system will be fully implemented in the whole A-share market within two or three years, which should be a high probability event.
If the specific rules of the registration system are improved quickly and the market has a high degree of implementation and acceptance of the rules, the transition period for the full implementation of the registration system may be two years, at most three years or so. He told the first financial reporter that the full implementation of the registration system must be the direction of the future. There is no more than a matter of time, no indefinite transition is possible..
In addition, the new securities law makes more strict restrictions on illegal acts. Zhu Yiyi, a lawyer with Guohao law firm, believes that after the implementation of the new law, it is expected that a new old plan will be made.
In its opinion, according to the basic principle of non retroactivity of the law, companies that have been put on file for investigation before March 1, 2020 should continue to put on file for investigation. If they fail to meet the standards of putting on file for investigation according to the provisions of the new securities law, they should be revoked according to the rule of favorable retroactivity; if the investigation has been completed and no administrative punishment has been carried out, they should be given administrative punishment In principle, it should also be carried out in accordance with the previous provisions of the securities law, but if the new securities law thinks that it should not be punished, the provisions of the new securities law can be applied without punishment; if it has been imposed administrative punishment, the administrative punishment procedure should not be repeated due to the provisions of the new law.
The securities market stands in the thirties, and standing is regulating
Since the establishment of Shanghai and Shenzhen stock exchanges in 1990, Chinas stock market has gone through nearly 30 years of development and reform.
Standing at 30, standing at the ceremony. I think its establishment is based on rules and norms, that is to say, it is basically marked by having system rules and operating norms. Lu Hongbing told reporters.
Dong Dengxin said that in the past 30 years, Chinas capital market has made great progress in the construction of multi-level structure, marketization, legalization and internationalization reform. First of all, with the financial spot market and derivative market, especially in the multi-level equity market system, the main board, small and medium-sized board, growth enterprise board and science and technology innovation board are becoming more and more perfect, and the role of the new three board and four board market is increasing.
In the aspect of market-oriented reform, we should constantly untie the market, restore the market attribute, and weaken the administrative regulation, so that there is a better synergy between the decisive role of market mechanism and the effectiveness of market regulation.
In terms of the reform of the rule of law, the securities law has been significantly revised, which has laid the legal status of IPO registration system, and the relevant regulatory laws and regulations are constantly improving. There is a relatively clear division of labor between the rule of law and administrative regulation.
In the aspect of internationalization reform, we have created the interconnection mechanism of Shanghai Hong Kong stock connect, Shenzhen Hong Kong stock connect and Shanghai Luntong, relaxed the trading limit of Shanghai Shenzhen Hong Kong stock connect, cancelled the quota control of QFII and rqfii, and raised the upper limit of the proportion of insurance capital equity investment. The three international stock indexes have included a shares. This year, we will also completely cancel the share ratio limit of overseas financial institutions, and the a share market is becoming more and more popular More and more favored by overseas institutions and international capital.
Dong Dengxin predicted that the full implementation of IPO registration system in the future would completely change the investment concept, regulatory concept, market culture and market ecology of A-share market.
In terms of investment philosophy, the risk awareness of investors will be strengthened, and voting with feet will become an instinct of investors self-protection; in terms of regulatory philosophy, the focus of supervision will turn to information disclosure supervision, and strict investigation of illegal securities and criminal activities; in terms of market culture, gambling culture and scolding culture will gradually disappear; in terms of market ecology, A-share market used to be unique The characteristics of retail market and policy market will be gradually eliminated.
However, we need to see that the current market ecology still needs to be further improved, and the securities law has not yet been amended in place. Guo Li pointed out that some new investment and financing activities, such as the regulation of equity network crowdfunding, were not included in the law at last, and there were not many articles on Intelligent transaction. Some mechanisms called for by market participants in M & A, such as the compulsory crowding out system of surplus shares, were not included after several times.
Lu Hongbing also believes that legislation has the characteristics of stage, which inevitably leads to regret. There is still room for improvement in the legal liability of securities service institutions and the system of litigation by representatives.
This revision of the securities law has gone through several years, and it is impossible to update the market ecology overnight. Guo Li said.