Margin Trading Pilot Business Is Expected To Become Routine Within The Year.

August 19th, China SFC Public comments on the relevant rules of the margin trading and the related measures for refinancing business were made public. The pilot business of margin trading for securities companies is about to change.

The revision is also a preparation for the transfer of the securities and margin business of the securities company. After the above public consultation is completed, the securities and margin trading pilot business can be transferred to regular businesses, and the refinancing business is also advancing.

The responsible person of the securities and Futures Commission said that since March 2010, the securities and margin trading business of the securities company started, which has laid the foundation for the pilot of the margin trading. The purpose of this article is to cancel the business as a routine business of the securities company. Launch a pilot project The stage requires higher net capital and classified evaluation results for the business qualification.

He said that, next, as long as the normal operation of securities companies, brokerage business for 3 years, registered capital and net capital in line with the requirements of the securities law and securities companies risk control index management measures to increase business scope, that is, the basic conditions of the business.

The responsible person also introduced the related situation of the trial and approval method (Draft) for the supervision and management of refinancing business. The draft stipulates the responsibilities and organizational structure of securities and financial companies, refinancing business rules, refinancing funds and securities sources.

It is understood that the relevant organizational structure of securities and financial companies need to be examined at a higher level.

For refinancing business Bond The draft stipulates that securities companies should pay a certain proportion of margin as guarantee for their payment of debts. The securities and funds in the deposit are deposited in the refinancing secured securities account and the refinancing guarantee fund account respectively.

In this regard, the person in charge explained that the specific proportion of securities financing companies receiving brokerage margin is still in the specific study. On the whole, it is necessary to deposit part of the securities, but the proportion will not be too high, mainly considering that the securities companies have already had more effective wind control standards for their own margin financing customers.

The person in charge of the future refinancing business mainly came from qualified institutional investors, fund management companies, listed companies, social security accounts, major shareholders of listed companies and institutional investors held by the market, the responsible person said.

In July 29th, the regulatory authorities circulate information on the Forum on the pilot operation of the refinancing business, and the preparations for the establishment of the securities and finance company and the transfer of the margin trading to the general market are expected to be realized within the year.