China News Service, Beijing, March 6 (Reporter Xia Bin and Liu Liang) Wu Qing, chairman of the China Securities Regulatory Commission, said on the 6th that once the capital market seriously deviates from fundamentals and an extreme situation occurs, "it will be necessary to take decisive action to correct market failures."
Economic themed press conference of the Second Session of the 14th National People's Congress.
Photo by China News Service reporter Yang Huafeng
This year’s government work report proposes to enhance the inherent stability of the capital market.
Wu Qing said at the economic press conference of the second session of the 14th National People's Congress that day that attaching importance to the construction of endogenous stabilization mechanisms in the capital market and improving market resilience is a systematic task that requires comprehensive measures.
In his view, this includes at least "one cornerstone", that is, high-quality listed companies; and "five pillars", that is, a more reasonable capital structure, a better basic system, a more effective market regulation mechanism, and better quality Professional services, stricter regulatory enforcement.
Wu Qing mentioned that both long-term and short-term money are needed in the market, but what is more lacking is long-term money. What is also lacking is long-termism. We also need to adhere to the concepts of value investment, rational investment, and long-term investment. “This is what we strive to promote. one thing".
Regarding the hotly discussed quantitative trading issue, he said that according to China's national and market conditions, it is necessary to further improve the institutional arrangements by pursuing advantages and avoiding disadvantages, further highlighting fairness, effective supervision, and standardized development.
Wu Qing revealed that a few days ago, the China Securities Regulatory Commission had just transferred a batch of market manipulation and insider trading cases for criminal liability. The purpose was to maintain market order, protect the legitimate rights and interests of investors more effectively, and let all market participants respect the law and keep their word. , return to their positions and fulfill their responsibilities, which is crucial to stable market operation.
He said that market operation has its own rules and should not be interfered with under normal circumstances.
However, once the market seriously deviates from fundamentals and experiences extreme situations such as irrational violent fluctuations, liquidity depletion, market panic, and serious lack of confidence, it is time to take decisive action to correct market failures.
"In this regard, we already have some effective practices, and we will also improve relevant mechanisms and resolutely prevent systemic risks." (End)