Editor's note: 2021 has drawn a perfect end. In 2022, a new journey has begun. Following the deepening reform of China's capital market, more reforms and innovations can be expected: the full implementation of the stock issuance registration system will become this year The “highlight” of the deepening reform of the capital market; the setting of “traffic lights” for capital will be the main line of capital supervision this year; the number of IPOs and the amount of funds raised are expected to further increase; the opening of the bond market to the outside world continues to deepen, and the issuance of corporate bonds is more convenient... In 2022, under the general policy of stabilizing the word and seeking progress while maintaining stability, the capital market will be increasingly determined to move towards high-quality development through deepening reforms.

  Reform of the registration system moves towards the whole market

  Four aspects to create a favorable environment and conditions

  Our reporter Chang Xiaoyu

  "The reform of the market-wide registration system" will be the highlight of the deepening reform of the capital market in 2022.

The chairman of the China Securities Regulatory Commission, Yi Huiman, said a few days ago that the China Securities Regulatory Commission is stepping up efforts to formulate a market-wide registration reform plan and steadily advance relevant preparatory work to ensure the smooth implementation of this major reform.

  Li Zhan, chief economist of the Research Department of China Merchants Fund, told the "Securities Daily" reporter that at present, the reform of the registration system has achieved remarkable results, and it has been proved to be an effective system that is conducive to the prosperity and development of the capital market. Very necessary.

  "Our country has the conditions to fully implement the registration system and can consider further promoting related reforms." Li Zhan said that the registration system reform has accumulated a lot of valuable experience in terms of rule convergence and stabilization of market expectations from incremental to stock, which can contribute to the future The reform of the main board registration system provides an important reference.

At the same time, the basic systems and facilities of the capital market have been continuously improved and the momentum is good. The market environment for full implementation of the registration system has taken shape. The regulations and systems such as information disclosure, investor protection, delisting, supervision and punishment have all made great progress; market structure With continuous optimization, the proportion of high-quality enterprises and institutional investors has gradually increased.

In addition, listed companies, intermediaries, investors, etc. have improved their understanding and acceptance of the registration system, and they have sufficient expectations and psychological preparations for the full implementation of the registration system.

  Zhang Yiping, a macro analyst at China Merchants Securities, told the "Securities Daily" reporter that it is necessary to implement a registration system across the market.

On the one hand, the registration system is conducive to strengthening the capital market's ability to serve the real economy.

Since 2021, over 70% of IPOs have been issued under the registration system, and the proportion of SMEs in IPOs has further increased. The key areas of the new round of technological revolution are the main beneficiaries of the registration system reform.

On the other hand, the registration system promotes the further improvement of capital market infrastructure.

Three breakthroughs have been achieved in the pilot registration system of the Science and Technology Innovation Board, the ChiNext and the Beijing Stock Exchange: optimizing the issuance and listing conditions, turning the substantive threshold as much as possible into strict information disclosure requirements, and improving the inclusiveness of science and technology enterprises; reviewing and registering Standards, procedures, content, processes, and results are disclosed to enhance predictability; there are no administrative restrictions on the price and scale of new stock issuance, and unnecessary intervention is eliminated.

  The reform of the registration system is a systematic project that needs to be implemented step by step and steadily.

Regarding the focus of the next step in the implementation of the registration system in the whole market, Yi Huiman put forward three requirements, one of which is to "create a favorable environment and conditions for the full implementation of the registration system."

  "In 2022, we can start from four aspects to create a favorable environment and conditions for the full implementation of the registration system." Li Zhan said that at the policy level, macro-control policies and macro-prudential policies are coordinated to support the stability of the macro-economy and financial system. Enough space has been made for capital market reforms.

  "At the institutional level, continue to improve the regulatory system, optimize the market ecology, and improve the entire chain of issuance supervision mechanism and the entire process of supervision and balance mechanism. It can also improve supervision capabilities at the technical level, and improve the accuracy and timeliness of supervision." Li Zhan Express.

  In terms of the quality of intermediary practice, Li Zhan believes that intermediaries should be guided to correctly understand and grasp the connotation of the registration system and perform their duties as a "gatekeeper".

Severely punish intermediary agencies for omissions and violations of regulations, require intermediary agencies to ensure the authenticity and completeness of information disclosure, and improve the level of practice.

  "At the investor level, improve the quality of investors, optimize the investor structure, and create a mature and stable capital market." Li Zhan said that investor education can be strengthened to guide investors to invest rationally and rationally.

At the same time, steadily promote the institutionalization and internationalization of the capital market, encourage domestic institutional investors such as funds, wealth management subsidiaries, and insurance funds to enter the market, lower foreign investment entry barriers, promote cross-border investment facilitation and liberalization, and attract foreign institutions to enter the market .

  Promote high-quality development of the bond market

  Supply is expected to increase in 2022

  Reporter Meng Ke

  The bond market is an important place to raise medium and long-term funds, and it plays an irreplaceable role in direct financing.

At present, the exchange bond market is generally stable, and its role in serving the real economy is prominent.

Looking forward to 2022, with the steady progress of the comprehensive registration system reform, corporate bond issuance will be more convenient. In an interview with a reporter from the Securities Daily, a number of experts predicted that the bond market supply is expected to increase in 2022.

  On December 30, 2021, the Chairman of the China Securities Regulatory Commission, Yi Huiman, pointed out that we should adhere to both the symptoms and the root causes, steadily resolve the risk of bond default, continue to cooperate with relevant parties to deal with the risk of key cases, and eliminate spillover effects as much as possible; further compact the issuer and intermediary Institutional responsibility, and improve the market-based legalized bond default resolution mechanism.

  Zhou Maohua, a macro researcher at the Financial Markets Department of Everbright Bank, told a reporter from the Securities Daily that the domestic bond market is advancing in the direction of marketization, rule of law, and internationalization.

We can start to promote the high-quality development of the bond market from the following aspects: First, in terms of systems, promote the reform of the bond market registration system and improve related laws and regulatory systems.

Promote the unification of bond market trading, supervision, and law enforcement rules and standards.

Second, efforts should be made to resolve the risk of bond defaults, improve the bond default handling mechanism, strengthen supervision, prevent companies from excessive borrowing, and protect the legitimate rights and interests of investors.

Consolidate the responsibilities of intermediary agencies, promote the high-quality development of intermediary services, differentiate the credit ratings of different bond issuers, and improve market pricing capabilities.

Finally, it is necessary to promote innovation in financial institutions and enrich credit bond risk management tools.

  On December 24, 2021, the Securities Regulatory Commission announced the "Guidelines for the Content and Format of Information Disclosure by Companies Offering Public Securities No. 24-Application Documents for Public Issuance of Corporate Bonds (Revised in 2021)", which clarified that the public issuance of corporate bonds implements a registration system. The stock exchange is responsible for accepting, reviewing, and reporting to the China Securities Regulatory Commission to perform the issuance registration procedures.

  Chen Li, chief economist of Chuancai Securities and director of the research institute, said in an interview with a reporter from the Securities Daily that with the steady progress of the comprehensive registration system reform, more and more companies will be listed, and corporate debt is an extremely important financing means.

Companies with a good industry track, strong management capabilities, and high technical level will have smoother issuance, while some companies with flaws in reputation or business standards will face more fierce financing competition. It is expected that the bond market as a whole will remain healthy in 2022. cycle.

  "The reform of the registration system will facilitate the issuance of corporate bonds, and the bond market supply is expected to increase in 2022." Zhou Maohua said that the regulatory authorities should strengthen supervision during and after the event and strengthen the information disclosure system.

At the same time, investors will pay more attention to the fundamental analysis of bond issuers, the market survival of the fittest mechanism will fully play its role, the efficiency of market resource allocation will increase, bond valuations will be significantly differentiated, and the development costs of some companies with good fundamentals, reasonable assets and liabilities, and stable operations will be relatively Low, bonds are more recognized by the market.

The reform of the registration system will boost investors' confidence in the high-quality development of the bond market.

  Chen Li said that to continue to promote my country’s bond market to achieve a higher level of two-way opening, we must start from three aspects. First, we must strengthen the establishment of a unified bond market. This will not only help improve market efficiency and enhance market liquidity, but also strengthen unified supervision. Prevent speculative arbitrage; the second is to further enrich the market product system. At present, my country’s cross-border collateral business and other major transactions in the global bond market are still in their infancy. The next step in opening up to the outside world must further enrich the product system; The establishment of basic systems to ensure the safe operation of the bond market during opening up.

  Continuous optimization of institutional opening

  Inject strong vitality into the market

  Our reporter Xing Meng

  In 2021, my country's capital market will continue to deepen cooperation in opening up to the outside world, introduce more overseas medium and long-term funds, optimize the investor structure, and help improve the stable operation of the capital market.

  In this context, the international recognition and influence of my country's capital market continues to increase, and the attractiveness of A-shares to foreign capital continues to increase.

Wind data shows that the cumulative net purchase amount of northbound funds in 2021 reached 432.169 billion yuan, a record high, an increase of 106.85% from the 208.932 billion yuan in 2020.

Among them, the cumulative net purchases of Shanghai Stock Connect are 193.727 billion yuan, and the cumulative net purchases of Shenzhen Stock Connect are 238.442 billion yuan.

  In addition, after the implementation of the new QFII regulations, the investment scope of foreign investors will be expanded again in 2021.

In October 2021, the China Securities Regulatory Commission announced the announcement of qualified foreign investors' participation in financial derivatives trading, adding three categories of commodity futures, commodity options, and stock index options. The purpose of participating in stock index options trading is limited to hedging transactions. It will be implemented on November 1, 2015.

In addition, the scope of internationalized commodity futures and options has continued to expand. At present, 9 products have been opened to foreign investors. Among them, crude oil and palm oil options will be added in 2021.

  Judging from a series of policies in recent months, in 2022, the capital market will improve the level of openness by improving systems and rules, severely crack down on illegal activities, and further improve investment convenience for foreign investors.

  Regulatory authorities have issued strict supervision signals for “fake foreign capital” that disrupt the normal operation of A-shares in order to maintain the smooth operation of the Shanghai-Shenzhen-Hong Kong Stock Connect.

In December 2021, the China Securities Regulatory Commission asked the public for public opinions on the amendment to the "Certain Provisions on the Interconnection Mechanism of Mainland and Hong Kong Stock Market Transactions", clarifying that "Shanghai and Shenzhen Stock Connect investors do not include mainland investors", aiming to regulate the return journey of mainland investors The transaction behavior is strictly regulated by the so-called "fake foreign capital".

  At the same time, the regulatory authorities have optimized the Shanghai-London Stock Connect mechanism to further unblock foreign investment channels.

In December 2021, the China Securities Regulatory Commission stated that it plans to amend and improve the relevant rules of the Shanghai-London Stock Connect to broaden the scope of application.

Domestically, eligible listed companies on the Shenzhen Stock Exchange will be included.

Overseas, it has expanded to Switzerland and Germany.

  Experts in the industry believe that, based on the foundation of institutional opening, the comprehensive promotion of the registration system internally, and the convenience of foreign investors to invest externally, the degree of opening of the capital market to the outside world is expected to continue to increase in 2022, injecting strong vitality into high-quality development.

  “Improving the participation of foreign investors in my country’s bond market can bring more incremental capital supply, which will help improve the investor structure of my country’s bond market, further promote the expansion of the bond market, and give better play to the bond market’s role in supporting enterprises. The role of financing and blood transfusion to the real economy. At the same time, it is also conducive to strengthening the development of the bond market, which is of positive significance to the establishment of a more open and dynamic bond market. In addition, foreign investment in RMB bonds increases investment in RMB bonds, and foreign capital The inflow is conducive to increasing the internationalization of the renminbi and enhancing the international currency attributes of the renminbi." Lu Lingge, assistant director of China Chengxin International Research Institute, said in an interview with a reporter from the Securities Daily.

  Regarding how to further promote two-way opening up, Liu Chunyan, an associate professor at the School of Law of Tongji University, told a reporter from the Securities Daily that the reform of the registration system must be comprehensively promoted for domestic opening; Promote the internationalization of the renminbi through trustworthy receipts, etc.

The two-way opening of the capital market must be established on the basis of institutional opening. On the basis of the securities law, a legal system for opening the securities market to the outside world must be studied and formulated, and the securities law must be matched to form a legal system for the two-way opening of the securities market.

  Lu Lingge said that on the one hand, we can consider continuing to improve basic systems such as taxation, credit rating, and accounting, and promote the integration of domestic and foreign rules to improve the convenience of overseas institutional investment; on the other hand, continue to develop the credit derivatives market and improve risk hedging. mechanism.

  It is expected that 2022 will still be the IPO year

  The scale of refinancing will rise steadily

  Our reporter Wu Xiaolu

  According to statistics from the Securities Regulatory Commission’s website and the Beijing, Shanghai and Shenzhen Stock Exchanges, as of December 31, 2021, 873 companies were queuing for IPOs. Among them, the Shanghai and Shenzhen Stock Exchange, the Science and Technology Innovation Board, the Growth Enterprise There are 231 companies (including 12 companies that have passed the review without obtaining approval), 159 companies, 413 companies, and 70 companies.

According to Wind statistics, there are 36 companies that have obtained IPO passes, but have not yet issued, are issuing or are not listed, and have raised a total of about 92.462 billion yuan.

  Looking forward to 2022, the industry predicts that the market-wide registration system reform is expected to be implemented, the number of IPOs and the amount of funds raised may further increase, and the scale of refinancing will also maintain a steady rise.

From an industry perspective, IPO and refinancing will still be biased towards high-end manufacturing and technology industries.

  “At present, there are more than 800 IPO companies in the Beijing, Shanghai, and Shenzhen stock exchanges. It is expected that the number of IPOs will remain at a high level in 2022. From a structural point of view, the implementation of the registration system on the main board is expected to be approaching. The proportion of capital will increase; the BBEX is expected to continue its popularity and the proportion of the number will also increase." Zhang Lei, a member of the Huatai Joint Securities Executive Committee, said in an interview with a reporter from the Securities Daily.

  From the perspective of financing structure, Zhang Bingwen, a senior researcher of the Zhixin Investment Research Institute, said in an interview with a reporter from the Securities Daily that the IPO in 2022 may show similar characteristics to that in 2021, that is, high-end manufacturing and hard technology-related industries will get more IPO financing support.

  In terms of refinancing, according to Wind data, the amount of A-share refinancing in 2021 will reach 1.22 trillion yuan, a year-on-year increase of 6.17%.

From the perspective of industry (Wind secondary industry), the refinancing scale of materials II, capital goods, banking, and technical hardware and equipment industries is relatively high, all exceeding 100 billion yuan.

  "A-share refinancing is related to the trend of the secondary market. The current wide-ranging trend of A-shares is conducive to the issuance of refinancing projects. It is expected that the scale of refinancing in 2022 will maintain a steady rise." Zhang Lei said.

  Zhang Bingwen believes that refinancing in 2022 will still be biased towards high-end manufacturing and hard technology industries, but specific industries will be affected by secondary market trends. It is expected that the refinancing needs of industries with rising valuations are more likely to be met.

  From the perspective of financing structure, fixed-income and convertible bonds are the main tools for corporate refinancing.

In 2021, 517 companies will raise funds of 89.938 million yuan. The number of fixed increase companies and the amount of funds raised respectively increase by 37.87% and 8.11% year-on-year; 127 companies issued convertible bonds to raise funds of 27.438 million yuan, a year-on-year decrease of 38.35%. The amount of funds raised increased by 10.85% year-on-year.

  Regarding the issuance of convertible bonds last year, Zhang Lei believes that listed companies that can successfully issue convertible bonds are generally of better quality.

The number of convertible bond issuances will decline in 2021, but the amount of funds raised will increase rapidly, reflecting the general trend of capital allocation for high-quality listed companies. This trend is expected to continue in 2022.

  "In 2021, most of the listed companies with large scale fixed growth are in the new energy industry chain, and most of the company's stock prices have risen significantly. In the market of rising stock prices, the'discount' effect of fixed growth is more attractive to shareholders." Zhang Bingwen said In contrast, most of the listed companies that issue convertible bonds belong to industries such as banks and transportation where stock prices continue to be sluggish.

Therefore, whether the refinancing structure in 2022 can continue the trend of 2021 depends more on the trend of the stock market.

  Set "traffic lights" for capital

  Regulation is neither absent nor offside

  Our reporter Xing Meng

  In 2021, the regulatory authorities have done a lot of work to strictly control the “entry” of the capital market and prevent the disorderly expansion of capital, and actively promote the improvement of related systems and mechanisms.

In the deployment of work in 2022, regulatory agencies frequently "name" capital, and the work context of capital supervision has gradually become clear.

  Experts in the industry believe that setting "traffic lights" for capital and improving relevant systems and mechanisms will be the main line of capital supervision in 2022.

  The Central Economic Work Conference to be held in 2021 pointed out that it is necessary to set "traffic lights" for capital, strengthen effective supervision of capital in accordance with the law, and prevent the brutal growth of capital.

It is necessary to support and guide the standardized and healthy development of capital, uphold and improve the basic socialist economic system, unswervingly consolidate and develop the public ownership economy, and unswervingly encourage, support, and guide the development of the non-public ownership economy.

  In terms of supporting and guiding the standardized and healthy development of capital, in 2022, the China Securities Regulatory Commission will promote the advancement of regulatory thresholds, and each shall bear its own responsibilities, and jointly establish and improve the institutional mechanism to effectively control the negative effects of capital, and set a "traffic light" for capital. The strong synergy of industry regulation and securities regulation.

The Shanghai Stock Exchange stated that it will strengthen effective supervision of capital in accordance with the law to prevent the brutal growth of capital.

The Shenzhen Stock Exchange stated that it supports and guides the standardized and healthy development of capital, strengthens the supervision of financing mergers and acquisitions in specific sensitive areas, and prevents the disorderly expansion of capital.

  In addition, on December 31, 2021, seven departments including the Central Bank issued the Measures for the Management of Online Marketing of Financial Products to solicit public opinions.

It is understood that the formulation of this method is an important measure to implement the Party Central Committee's decision and deployment on anti-monopoly and preventing the disorderly expansion of capital. It is an inevitable requirement for the implementation of the people-centered concept and an urgent need to improve the Internet financial regulatory system.

  "The orderly supervision of capital is conducive to enhancing the predictability and stability of supervisory behavior, better protecting the legitimate rights and interests of investors, accelerating the process of legalization and internationalization of the capital market, and effectively optimizing honesty, credibility, fairness, and equity. Winning, sharing, inclusive and inclusive capital market ecological environment." Liu Junhai, director of the Institute of Commercial Law of Renmin University of China, said in an interview with a reporter from Securities Daily.

  "Setting up'traffic lights' for capital and strengthening effective supervision are the inherent requirements for implementing the new development concept, a necessary measure to maintain the stable operation of the capital market, and an effective means to protect the legitimate rights and interests of investors." Dr. Ma Guoan, Professor of Law, Shanghai University of Finance and Economics A reporter from the "Securities Daily" stated that the key to strengthening effective supervision of capital and establishing a sound institutional mechanism is the key.

Regulatory agencies should adhere to the principle of "system building, non-intervention, and zero tolerance", strengthen system construction, and improve regulatory effectiveness.

Continue to improve the administrative, civil, and criminal multi-dimensional and three-dimensional accountability system, severely crack down on securities violations, strengthen the standard and guidance of capital, and promote the healthy development of capital.

  Yan Kaiwen, chief strategist at Huaxin Securities, told a reporter from the Securities Daily that setting up a "traffic light" for capital is intended to emphasize that capital should do something or not.

We should give full play to the decisive role of the market in resource allocation, and rationally guide capital to give full play to its positive role in areas where it can do something.

  Liu Junhai suggested that the regulatory authorities should ensure that the orderly supervision of capital is “neither absent nor offside”, and truly realize the seamless connection, organic connection, co-frequency resonance and benignity between the invisible hand of the market and the visible hand of the government. interactive.

Explore the establishment of a unified regulatory system and mechanism, and promote the coordination and unification of regulatory standards, rules and concepts.

(Securities Daily)