The pilot reform of the registration system for issuance of new shares has been implemented for more than two years, which is generally in line with expectations and the implementation of the system is effective.
However, there are also voices in the market that a few institutions "group quotations" and "new stocks are undefeated on the first day of listing" continue.
The reform of the registration system is the “bull nose” project of my country's capital market reform, and an important link in deepening the structural reform of the financial supply side. The market is paying close attention to it, and it is normal that there are multiple voices.
Regarding the success or failure of the reform of the new share issuance system, we must not simply judge by the P/E ratio of a few stocks, short-term stock price performance, and the short-sighted behavior of some inquiry institutions.
It is necessary to comprehensively measure from a longer-term perspective, whether the registration system reform supports the development of the real economy and promotes the accelerated growth of outstanding enterprises, whether there are effective institutional innovations, and pave the way for the future reform and development of the capital market. This is the judgment registration system. The key to reform effects and success or failure.
From the perspective of serving the real economy, since the implementation of the registration system for more than two years, the issuance of new shares has moved towards normalization, and the concept of the registration system has gradually become popular in the capital market.
The A-share market has set the highest level of IPO financing in the same period in history, and the stock market has remained stable. There has been no market expansion caused by the continuous issuance of new shares in the past, nor has it been caused by the suspension of new shares or the IPO "block lake". "Financing Anxiety" of companies.
The reform of the registration system has returned to the origin of the capital market. The opening of the market for fair financing is an important manifestation of the implementation of "the market plays a decisive role in the allocation of resources." An inclusive modern financial system is also conducive to building an institutional mechanism for financial support to effectively support the real economy.
A group of technologically innovative companies, “specialized and new” small and medium-sized enterprises, companies that want to spin off and go public, and even companies with the same shares with different rights can play fair competition for direct financing and investors’ favor. The A-share market supports the real economy The degree of marketization and inclusiveness reached a new height.
From the perspective of capital market reform, over the past two years, with the in-depth advancement of the registration system reform, the comprehensive and three-dimensional market reform of the capital market around the registration system reform has been launched, and the reform and opening up of the capital market has been steadily steadily progressing.
With the registration reform as the leader, the regulatory authorities are coordinating the promotion of key system innovations such as transactions, delisting, refinancing, mergers and acquisitions and restructuring, and promoting regulatory reforms in various fields and links, focusing on improving the quality of listed companies, and consolidating the foundation for the stable and healthy development of the market.
At present, the registration system framework for new shares issuance in line with my country’s national conditions is being formed at an accelerated pace. A registration system of “one core, two links, and three market arrangements” has been initially established, that is, with information disclosure as the core, the review and registration are divided into The two links of exchange review and SFC registration have their respective focuses and are connected to each other; establish diversified and inclusive issuance and listing conditions, establish a market-based underwriting mechanism for new stock issuance, and build an open, transparent and predictable review and registration mechanism.
Guided by the registration system reform, a series of measures to comprehensively deepen the reform of the capital market are exerting powerful effects, and some long-standing institutional problems in the market are being solved.
The reform of the registration system cannot be done once and for all. Regarding the local inconsistencies and unsuitability during the pilot process, we must persist in using reform methods to solve the problems in the reform.
The promotion of the registration system in the whole market requires a comprehensive reform of the legal system, mergers and acquisitions, and intermediary responsibilities. It also requires a more comprehensive investor protection system, as well as a change in regulatory methods.
In the future, the reform of the basic system of the capital market will learn from the experience of the registration system reform. It is foreseeable that more companies will benefit from the registration system reform and obtain more direct financing "live water".
The reform of the registration system demonstrates China's firm determination to build a standardized, transparent, open, vigorous and resilient capital market, and will surely feed back China's capital market to achieve a higher level of leapfrogging.
Author: Jin Guanping