国产热热热精品,亚洲视频久久】日韩,三级婷婷在线久久,99人妻精品视频,精品九热人人肉肉在线,AV东京热一区二区,91po在线视频观看,久久激情宗合,青青草黄色手机视频

Business / Markets

Flawed IPO reform crippling market: Experts

By Xie Yu (China Daily) Updated: 2014-03-05 09:02

"I do not agree with the CSRC's logic," said Rui.

The regulators' argument was that Aosaikang was looking for an aggressive cash-out and the price-earnings ratio was too high. But Aosaikang had done nothing illegal or against the rules. If the market accepts it, it should be reasonable. If it falls on its debut, it would simply show that the market did not recognize the price and it would be deserted by investors, Rui added. He also said that it did not make sense for the CSRC to demand that issuers lock in P/E ratios of new shares within the range of industry peers. Price controls curb collusion to create artificially high prices, he said, and to some extent they prevent retail investors from becoming "trapped" by a high IPO price, but they are totally "unnecessary", Rui added.

"Retail investors need to learn that speculating in new shares is risky," Rui said, noting that this would reduce incentives for issuers and underwriters to profiteer from IPOs.

Flawed IPO reform crippling market: Experts

Flawed IPO reform crippling market: Experts

If the CSRC always prioritizes "stability" at the expense of the free market, China's stock market can never mature, he added.

Analysts and investors have criticized the CSRC for intervening too much in the stock market and said that top-down verification cannot effectively prevent fraud or insider trading. What's more, they said, requiring official verification creates room for corruption. CSRC Chairman Xiao Gang responded that the authorities are pushing for registration-based IPO reform step-by-step, after which the authorities will focus on compliance reviews of the new listing candidates.

"The CSRC can do much more than just talk about reform," said independent financial columnist Pi Haizhou.

Pi said that, based on current regulations, 60 percent of new shares issued are allocated to institutional investors, which is unfair to retail investors. He also suggested prohibiting the transfer of pre-listing shares during the IPO process to prevent aggressive cash-outs.

"China's stock market has been developing under governmental intervention since it was established in the 1990s," said Yin Zhongli, deputy director of the Institute of Finance and Banking at the Chinese Academy of Social Sciences.

But such intervention has greatly distorted the pricing of public shares, leading to distortion in new share prices. Even if the authority tried to curb the IPO price, it would quickly hit the upward limit after going to the secondary market, causing a run on new shares, he added.

Rui said a watchdog to strengthen enforcement is badly needed.

"Criminal penalties should be established to deter price manipulation and insider trading. More important, the authority should go after lawbreakers, no matter who they are, no matter who their parents are," Rui added, noting that many brokerage executives are the "second generation" of high-ranking officials.

Previous Page 1 2 Next Page

Hot Topics

Editor's Picks
...
...
嘉鱼县| 故城县| 郎溪县| 钟祥市| 新宁县| 桂东县| 高邮市| 阿荣旗| 府谷县| 辰溪县| 嫩江县| 曲水县| 临朐县| 鄯善县| 望城县| 明水县| 宝鸡市| 仪征市| 特克斯县| 盐源县| 全州县| 卢氏县| 林西县| 都江堰市| 政和县| 渭源县| 东山县| 黔西县| 富锦市| 开远市| 瓦房店市| 仁化县| 于田县| 辽阳县| 商水县| 陇西县| 兴和县| 微山县| 红原县| 达孜县| 怀仁县|