Experts Inquiring About China'S Growth Enterprise Market &Nbsp; Internal Mechanism Needs To Be Improved.

Experts recommend starting from market positioning, refinancing, internationalization and exit mechanism.

On the 8 day of the fifteenth China capital market forum, "China's growth enterprise market: status quo and future" sub forum, experts attending the meeting said that the quality of China's growth enterprise market is not bad. It is suggested that we learn from overseas experience and improve the growth enterprise market from the aspects of market positioning, refinancing, internationalization and exit mechanism.

The quality of the company is not bad.

Shi Wei, a researcher at the Institute of Finance and securities, Renmin University of China, said that the growth of listed companies is the cornerstone of market growth.

From the three perspectives of industry attributes, business models and internal competitiveness, the quality of GEM companies is not bad.

Shi Wei said that in October 2009, there were 134 GEM companies listed on the gem in 2010 and October.

The 134 GEM companies are mainly distributed in two categories: manufacturing and information technology.

This is consistent with China's current economic structure.

However, compared with the Nasdaq market, the proportion of consumer goods and direct services in China's gem enterprises is still very small.

From the perspective of segmentation industry, the GEM companies are only 10% of the 100 billion level space, most of which are located in the 30 billion industries.

Shi Wei said, from the data, the growth rate of the main business of GEM companies is larger than that of the main board and small and medium-sized boards, while the net assets yield index of GEM companies is much higher than that of the main board and small and medium-sized boards, so the quality of GEM companies is not bad.

Learn from overseas experience

Wang Qian, chief representative of the Beijing Representative Office of the London Stock Exchange, said that London AIM market is similar to China's growth enterprise market. It serves the characteristics of SMEs, refinancing capability, internationalization and exit mechanism, and is worthy of reference from China's growth enterprise market.

"Britain attaches great importance to small and medium enterprises, because SMEs will bring the greatest number of job opportunities.

AIM market is very suitable for small companies, that is, champions in small businesses.

Wang Qian introduced that the London AIM market was established in 1995, specifically for the rapid growth of small and medium-sized enterprises.

In the past 15 years, there are about 1200 listed companies in the AIM market, creating 260 thousand jobs for the UK.

Wang Qian said that the AIM market not only brings financing opportunities to SMEs, but also gives them opportunities to grow and grow.

Because the refinancing capability of the AIM market is very strong, far exceeding the amount of IPO financing.

She said that although the AIM market was originally set up to provide a listing opportunity for the British local enterprises, it is actually becoming more and more internationalized, and more than 20% of the enterprises are overseas enterprises.

She suggested that China's growth enterprise market should establish a pfer board and exit mechanism.

In the 15 years since the establishment of AIM market, there are more than 3000 enterprises IPO, and only about 1200 companies are listed.

Part of the pfer to the main board market, part of the exit.

"AIM, like a water pool, keeps flowing in and out."

"Such a high price earnings ratio shows a serious imbalance between supply and demand."

Xu Guangxun, the former chief representative of NASDAQ China, suggested that China's growth enterprise market should expand the scale of the market as soon as possible and increase the number of institutional investors.

He believes that China's institutional investors are too few to measure the maturity and immaturity of a capital market. It can be seen that the percentage of institutional investors participating in the capital market.

At present, there are only more than 100 securities companies in China, but in Xu Guangxun's view, there are one thousand securities companies in China.

Cheng Siwei: Gem needs to link up with venture capital

Cheng Si Wei, the former vice chairman of the Standing Committee of the National People's Congress, said 8 days to promote the healthy development of the growth enterprise market. We need to link up with venture capital and clarify the relevant regulations on the withdrawal of wind investment fund.

At the fifteenth China capital market forum, Cheng Siwei pointed out that China should encourage venture capital to invest more in the early stage of the project from the policy point of view, and venture capital should go backward. After the withdrawal of funds, other innovative projects should be reinvested.

He believes that the growth enterprise market should not only be a platform for capital to get high returns, but also should continue to "incubate" innovative enterprises with potential.

As far as the structure and scale of gem are concerned, there are still some enterprises in gem that fail to meet the standards of "innovative enterprises".

He believes that in terms of the size of China's capital market, there should be 400 enterprises in China's growth enterprise market.

Cheng Siwei believes that China's GEM market needs to gradually establish a market maker system, so as to alleviate the current "three high" problem.

He pointed out that market makers can play a positive role in finding prices more accurately, maintaining market liquidity and not having no market conditions; and completing bulk pactions.

But he also pointed out that the market makers should be prevented from manipulating the market maliciously.

Cheng Siwei pointed out that in order to improve the quality of listed companies on GEM, we should further clarify the requirements for governance of listed companies.

Zhang Jingan: the capital market should focus on the guidance of independent innovation

Zhang Jingan, a member of the Party group of the Ministry of science and technology, said on the 8 day that the gem is an indispensable market for the development of high-tech enterprises and the development of innovation and technology.

At the fifteenth China capital market forum, Zhang Jingan pointed out that changes in the world economy and industrial competition may accelerate the arrival of the new technological revolution after the financial crisis.

Massive capital flows into finance and real estate to form a bubble, and the underlying reason for the backwardness of the Asian economy is that there is no financial system that supports high technology development.

Zhang Jingan said that the development of venture capital and capital market can promote economic structure optimization and economic growth.

Without the establishment of a multi-level financial system, the development of small and medium-sized enterprises will not be supported. High risk and high growth potential projects will be difficult to develop.

He pointed out that the injection of venture capital will help improve the development environment of independent innovation enterprises and increase the ability of enterprises to resist risks.

Relevant departments should formulate policies to use venture capital as a beneficial tool.

Wu Xiaoqiu: the internal mechanism of gem should be improved.

Wu Xiaoqiu, assistant director of the Institute of Finance and securities, Renmin University of China and assistant director of Renmin University of China, said that China's gem is still in its early stage of development, with a smaller scale, and the internal mechanism and external environment still need to be improved.

In the fifteenth China capital market forum, Wu Xiaoqiu believes that in the future, China's growth enterprise market development must first establish a fair and pparent market; two, it is necessary to establish a value investment engine with reasonable guidance function to venture capital; three, it should be an innovative spirit incentive mechanism, which should provide long-term incentive mechanism for enterprises' innovative activities through the wealth effect; four, foster entrepreneurial spirit based on market competition; five, it needs to play a discernment and become the cradle of future leaders in high-tech fields.

Wu Xiaoqiu pointed out that there are 9 problems in China's growth enterprise market.

First, the phenomenon of rent-seeking shareholders' assault on shares is more serious, that is, venture capital basically does not participate in the risk bearing process of enterprise growth, and the direct purpose is high capital return, which seriously undermines the equity principle of the GEM market.

Second, there is a serious correlation between the direct investment of securities dealers and the sponsor system of listed companies.

Third, the phenomenon of excessive fund raising is serious, ignoring the entrepreneurial ideals of enterprises and affecting the effectiveness of enterprise management.

Fourth, the high P / E ratio is very serious.

Fifth, frequent resignation of executives has seriously damaged market confidence.

Sixth, information leakage is serious.

Seventh, the delisting mechanism is difficult to produce.

Without efficient delisting mechanism, the risk structure of gem will be difficult to build.

Eighth, distorting the wealth creation effect.

Ninth, strong willingness to cash in.

Zhou Ming: GEM has good conditions to take the lead in pilot reform of delisting system.

Zhou Ming, deputy general manager of Shenzhen stock exchange, said at the fifteenth China capital market forum 8, to explore the establishment of a direct delisting mechanism for the growth enterprise market.

As a brand new market, gem has no historical problems. It has good conditions to explore pilot projects in the delisting area, and accumulate experience for improving the main board and small and medium-sized board delisting system.

"We must constantly improve the system in the growth enterprise market, and increase our efforts to support the listing of strategic emerging industries.

He said that in view of the characteristics of gem and the new problems in its development, we should actively promote institutional innovation and form a market mechanism suitable for entrepreneurial enterprises as soon as possible.

Institutional innovation includes five aspects: first, explore the establishment of a direct delisting mechanism of the gem.

In view of the current market situation, it is imperative to push ahead with the reform of delisting system.

Second, establish a small quick refinancing system suitable for GEM companies as soon as possible.

We should introduce fast approval procedures, simplify related information disclosure, and establish a diversified distribution system to meet faster financing needs of GEM companies.

Third, we must establish a M & a system suitable for the growth enterprise market, which is conducive to resource integration and competitive advantage of GEM companies.

Next, we should consider making corresponding institutional arrangements from major asset reorganization standards, auditing procedures and stock exchange acquisitions, which are different from existing motherboard arrangements and support GEM companies to become bigger and stronger.

Fourth, actively explore the equity incentive system suitable for GEM companies.

Fifth, we should give full play to the role of market constraint mechanism.

Lin Chen: improving the growth enterprise market in three aspects

China Securities Journal president and chief editor Lin Chen 8 suggested that we should further improve the GEM market, including establishing the gem delisting system as soon as possible, increasing the intensity and depth of information disclosure, and improving the "size limit" locking of GEM companies and the restrictions on executive shareholding.

In the fifteenth China capital market forum, Lin Chen said, after 20 years of development, as of the end of 2010, China's stock market capitalization has ranked second in the world, and the volume of commodity futures market ranks first in the world.

The launch of the gem has made China's multi-level capital market system more perfect, and the capital market has become an important driving force for the sustained and healthy development of China's economy and society.

By the end of 2010, a total of 153 companies had successfully listed on GEM, and actually raised more than 100 billion yuan.

This is essential for alleviating the financing difficulties of small and medium-sized enterprises.

At present, the total market value of gem is about 700000000000 yuan, and the market value of circulation is nearly 200 billion yuan.

Talking about the further improvement of the gem mechanism, Lin Chen put forward three suggestions.

First, establish a delisting system for gem as soon as possible.

At present, regulators are focusing on how to form a stable and benign interaction between the three capital, innovation enterprises and market.

Among them, the improvement of supporting system for gem is a very important link.

To truly protect the rights and interests of investors and guide market resources to high-quality enterprises, we must establish a reasonable and effective delisting mechanism.

Second, increase the intensity and depth of information disclosure of listed companies on GEM.

The GEM listed companies should fully disclose the core value, risk, executive reduction and the use of the funds raised, especially for the internal control system of listed companies, and try to improve the quality of information disclosure.

GEM listed companies should also strictly enforce insider information management system to crack down on insider trading.

We should fully disclose the relevant risks to enterprises that are facing the risk of suspension and listing.

Third, the restrictions on the "size limit" of the GEM listed companies and the restrictions on executives' shareholding should be different from the motherboard. We should specifically study and demonstrate new regulations that are more in line with the characteristics of the gem. In corporate governance, we need to further improve the governance level of the listed companies to reduce the turnover of their executives.