Registration System: Small And Medium-Sized Companies Improve The Quality Of Governance Is The Key.

In the government work report, it is pointed out that the stock issue registration system will be implemented in 2015.

This means that the long-awaited registration system reform will officially start, and the Chinese stock market will enter a new stage of development.

Compared with the examination and approval system, the main feature of registration system is that the SFC [micro-blog] no longer endorsed the quality of listed companies, moved the right to issue and issue shares to the stock exchange, and judged the quality of the company by market and investors.

This will effectively reduce the approval pressure of the SFC, reduce the examination and approval link of the listing of enterprises, promote competition among exchanges, and facilitate more companies to enter the Shanghai and Shenzhen stock markets.

We expect that the listing of small and medium-sized companies will become easier after the registration system reform.

In order to increase the number of listed companies, China can relax the existing conditions for examination and approval.

Therefore, the goal of registration reform is not to increase the number of listed companies, but to reduce administrative intervention, so that the market can identify high-quality companies, improve the overall quality of listed companies, and create a solid foundation for stock market prosperity.

How to identify quality companies is an eternal topic in theory and practice.

Most good companies have good management teams, business models, corporate governance and performance.

Theory and practice have proved that higher corporate governance quality helps to improve corporate performance, and the quality of governance of a country's corporate group will affect the overall development level of a country's economy.

The listed company is the representative and leader of a country's enterprise group. Therefore, improving the quality of the listed company's governance is the common demand of the government and the exchange.

To evaluate the Shenzhen Stock Exchange [micro-blog] SME board, gem

The quality of governance is a reference for registration system reform. We adopt the internationally adopted "equal weight index compilation method", referring to the laws, regulations and guiding opinions related to corporate governance both at home and abroad.

The operation of the board and board of supervisors, information disclosure and compliance.

In four aspects, we will conduct a systematic assessment of the governance level of small and medium-sized listed companies.

There are 19 indicators in the evaluation system. Besides the four sub indicators of information disclosure and compliance, the other three aspects are five sub indicators.

The object of the evaluation is 1056 small and medium sized boards and GEM companies listed on the market in July 31, 2014.

Data show that the average corporate governance of the two sectors is 52 points, the highest is 75 points, the lowest is 27 points.

The overall level is relatively low, and the differentiation is very obvious.

The score of 186 companies' governance is higher than 60 points, accounting for 17.6% of the total, which indicates that the quality of most small and medium listed companies is not high.

In the four aspects reflecting the governance of listed companies, the best performance is information disclosure and compliance, with an average of 75 points.

The operation of the board and board of supervisors is the next, with an average of 53 points.

Ownership structure and shareholders' rights and incentive mechanism score were lower, averaging 47 points and 32 points.