IPO issuance and hot market trading promote dynamic balance of investment and financing

 IPO issuance and hot market trading promote dynamic balance of investment and financing

On the one hand, it is one of the basic functions of the capital market to realize the dynamic balance of investment and financing in the A-share market and give full play to the investment and financing function, which is also the main demand of the real economy for the capital market.

At the meeting of the Political Bureau of the CPC Central Committee held on July 30, it was planned to accelerate the formation of a new development pattern with the domestic big cycle as the main body and the domestic and international dual circulation promoting each other, establish a medium and long-term coordination mechanism for epidemic prevention and control and economic and social development, adhere to the strategic direction of structural adjustment, rely more on scientific and technological innovation, improve the cross cycle design and regulation of macro-control, and achieve stable growth and development Long term equilibrium of risk prevention .

The author believes that in the work of accelerating the formation of double cycle of economy, the important task of capital market is shouldering. The driving force of double cycle is mainly from the development of production factors to promote the improvement of productivity. Capital market is the market-oriented carrier of capital elements, and it plays a role of pulling one hair and moving the whole body to guide the efficient flow of technology and data.

On the other hand, the investment and financing that greatly increases the activity of A-share market is not simply from the influx of funds, but from the optimization of the capital market ecology. Its core is the superposition effect of a series of reform and opening-up measures led by the registration system.

The normalization of IPO issuance and the booming secondary market trading were once mistaken as a pair of contradictions, which were mainly analyzed based on the diversion of funds and the lack of market capacity. However, in recent years, the normal IPO issuance has even accelerated slightly, but the market trading volume has not weakened, which also verifies the mobility of the center of gravity of investment and financing balance.

On the surface, the driving force of this movement comes from the admission of new capital, but its root lies in the power of capital market reform. Since last year, the capital market has continued to strengthen the construction of the basic system, promote the reform of the stock issuance registration system with information disclosure as the core, improve the compulsory delisting and active delisting systems, improve the quality of listed companies, deepen the opening-up measures, strengthen investor protection and supervision of illegal and illegal activities, and further improve the ecology of the capital market.

Reflected in the investment side, it is the need for one in ten thousand to win online subscription in the primary market, the increasing number of investors participating in new ventures, and the focus of investors on the issuance of companies on the science and technology innovation board and the growth enterprise market under the dimension of registration system; the number of investors in the A-share market of the secondary market has reached 167 million, the proportion of equity investment of various domestic institutions has increased, and the number of foreign-funded institutions such as Beishang capital has increased significantly Yes. It can be said that the capital market is constantly restructuring and consolidating the development focus in the reform.

However, it should be noted that the current hot issue of new shares and secondary market trading does not mean that the financing threshold or investment risk is reduced. This is also the place where listed companies and investors need to keep rational and dialectical identification. The author believes that with the steady progress of the deep reform of the capital market, the A-share market has accelerated the construction of a market environment in which long-term funds are willing to come and stay. However, the final presentation of the market environment is the weighting of all the main bodies of the market, and the continuous upward shift of the focus of investment and financing balance requires the joint efforts of all market entities such as regulators, listed companies, investors, and intermediary agencies, which is also capital The key to the steady development of the market.

Source of this article: Yang Qian, editor in charge of Securities Daily_ NF4425