The main board of the Shenzhen Stock Exchange and the small and medium-sized board will merge. Will it affect your investment?
Xinhua News Agency, Beijing, February 5 (Reporters Liu Hui, Wu Yanting) The China Securities Regulatory Commission announced on the 5th that it approved the merger of the Shenzhen Stock Exchange's main board and the small and medium-sized board.
The Shenzhen Stock Exchange said on the same day that, with the approval of the China Securities Regulatory Commission, it recently initiated preparations for the merger of the main board and the small and medium-sized board, and issued relevant business notices.
According to Pi Liuyi, deputy director of the market department of the China Securities Regulatory Commission, the general idea of merging the main board and the small and medium-sized board is "two unifications and four unchanged", that is, unifying business rules, unifying operation and supervision models, and keeping the conditions of issuance and listing unchanged. The threshold remains unchanged, the trading mechanism remains unchanged, and the securities code and abbreviation remain unchanged.
A spokesperson for the Shenzhen Stock Exchange said that the merger only made adaptive adjustments to certain business rules, market products, technical systems, and issuance and listing arrangements. Generally speaking, it has little impact on market operations and investor transactions.
What changes will this reform bring to investors?
This merger only changes the types of securities of the original small and medium-sized board companies, and the securities codes and securities abbreviations remain unchanged, and will not affect investors' trading methods and trading habits.
The main board, small and medium-sized board trading mechanisms and investor thresholds are the same, there is no difference in the overall investor group, and the merger does not involve changes in trading mechanisms and investor thresholds, and will not have a substantial impact on investors' trading behavior.
Regarding the impact of the merger on market products, the Shenzhen Stock Exchange stated that the merger has basically no impact on fixed income, futures and options products, and Shenzhen-Hong Kong Stock Connect business, and related indexes involving small and medium-sized boards must be adjusted adaptively.
Specifically, this merger only needs to make appropriate revisions to the full name, abbreviation, and sample selection space description of the relevant index, that is, delete the word "board" in the full index name and abbreviation, and make individual adaptive adjustments. The description of the related index selection space involves The "Small and Medium-Sized Board" was changed to the "Small and Medium-sized Board".
A spokesperson for the Shenzhen Stock Exchange said that the above-mentioned index adjustment arrangements will not make substantial changes to the index preparation method, and will not lead to adjustments to the investment targets of fund products that track related indexes. This will help maintain the stability and continuity of the index and ensure the stability of fund products. Operation.
In order to fully protect investors’ right to know, the Shenzhen Stock Exchange stated that it will answer questions that investors care about through official Weibo and WeChat, hotline (400-808-9999), and email (cis@szse.cn). Ensure that investors fully understand the merger of the two boards.
As of the end of January 2021, there were a total of 1,468 listed companies on the Shenzhen Stock Exchange's main board and small and medium-sized boards, accounting for 35% of the total number of A-share listed companies, with a total market value of 23.39 trillion yuan, accounting for 29% of the entire market.