Stock Market: Regulatory Authorities Continue To Clean Up Capital Allocation

Because of the clearance of funds, and then triggered a "bloodbath" in the stock market.

In the middle of June, when the collapse began, the OTC capital allocation was widely regarded.

Objectively speaking, the stock market has plummeted. Although there are also factors such as the high valuation of the stock market and the speculative frenzy of investors, the overflowing of over-the-counter capital is a "fuse".

Therefore, the regulatory authorities continue to clean up the allocation of funds, and further increase the trend, but also reasonable.

Now that the over-the-counter allocation has caused great damage to the market, the tumor should be removed as soon as possible.

As long as the provisions of the real name system are violated, they should be "one size fits all".

In fact, the clearance and allocation of funds for the A-share market, the short term is bad, but the long line is good. A

We can not ignore long-term interests because of short-term interests, so that we will lose more than we gain.

However, clearing the off-site allocation of funds, because of the interests of many parties, the game can not be avoided.

Therefore, there is no doubt that there is a "pinch" between trust companies and brokerages.

In fact, both the trust company and the broker dealer are not unreasonable.

The trust company requires the broker to act in accordance with the original agreement. He believes that the securities company has the obligation to ensure the smooth progress of the project paction, while the broker has moved the regulatory stick.

The public said that the public was right, and the woman said that the woman was right.

We can wait and see how the farce will end.

However, in the two sides' "pinch rack", the reason for the securities companies is obviously more tenable.

For example, the eightieth provision of the securities law prohibits legal persons from illegally using other people's accounts to engage in securities trading, and prohibits legal persons from lending their own or others' securities accounts.

This provision is also the real name system of securities trading account which we often say.

There are three types of trust products issued by trust companies.

One is the umbrella shape in the traditional sense.

That is, the trust company sells its umbrella share to the matching customer by its own channel.

The second is to cooperate with the trust company and the company to provide two levels of warehouse under the umbrella shaped umbrella.

The third is the single structured trust.

According to the notice issued recently by the regulatory authorities on "continuing to do a good job in cleaning up and correcting illegal activities in securities business", the first two items belong to the liquidation list.

According to

"The eightieth provision stipulates that the use of information systems to open virtual securities accounts for customers, borrow securities from other people's securities, and lend securities accounts to others is suspected of breaking the law. It is obvious that the liquidation of such accounts is consistent with the relevant provisions of the securities law.

Therefore, although the securities companies and trust companies "pinch", but no matter who is, must comply with laws and regulations, must comply with the rules of the market game.

Cleaning up non real name accounts also caused a chain reaction in the market. The first two trading days this week, the Shanghai Composite Index fell by 2.67% and 3.52% respectively.

The tragedy is repeated again.

On Wednesday, the stock market miracled a sharp rebound. On the same day, the Shanghai Composite Index rose 4.89%, and the Shanghai and Shenzhen stock markets experienced a "miracle" of 1000 stock trading.

Whether it is necessary to clean up the off-site distribution, or to suspend the liquidation or not to carry out the "one size fits all" strategy, seems to be the decisive factor at present.

I believe that since the relevant provisions of the Securities Act, we should strictly abide by it.

Previously, the products issued by trust companies did not implement the real name system, which was caused by market supervision itself.

The clean-up is essentially a matter of redress.

But the clean-up is no longer "one size fits all". I think it is open to question.

It is undeniable that the stock market is in a precarious period. Market stability is a top priority.

The regulatory authorities do not engage in "one size fits all", which is undoubtedly caused by the stock market being affected.