The Reform Of Registration System Has Attracted The Attention Of The State Council.

In December 9th, a heavy news attracted the attention of all parties in the market.

Specifically, on the same day, the Executive Council of the State Council adopted the decision on the adjustment of the relevant provisions of the "People's Republic of China Securities Law" in the reform of the stock issuing registration system authorized by the State Council.

Among them, in the draft, it is clear that within two years from the date of the decision to implement it, the registration system will be authorized for the public offering of shares to be listed on the Shanghai stock exchange and the Shenzhen stock exchange.

In fact, it is easier for the market to question the news.

Perhaps, from the direct literal meaning, the Executive Council of the State Council will declare the registration system within two years.

However, according to the attitude of the management at present, the literal meaning tends to be that the registration system reform will be carried out in the form of the executive meeting of the State Council, and the validity period of the authorized executive meeting of the State Council is two years.

At the same time, it was pointed out that the Commission is now speeding up the formulation of the relevant provisions of the registration system and is intended to be launched by the end of the month.

At this point, the process of registration reform in China will also accelerate significantly.

Originally, the market generally believed that the introduction of the registration system should be based on the revision and improvement of the securities law, and then gradually spread the registration system.

However, from the actual situation, after the turmoil of stock market between 6 and July of 2015, the revision of the securities law has encountered an unprecedented impact.

At this point, with the delay of the second instance and the three instance in the revision of the securities law, the final revision and improvement time of the securities law has to be delayed again.

Obviously, in accordance with the current revision of the securities law, it means that the securities law will not be able to complete a whole round of revision and improvement process until the second half of next year.

As a result, in fact, it implies that the registration system will be postponed to the end of next year or even the year after next.

Thus, if the registration system is further postponed to 2017, it will be applied to our country.

The path of reform and development has a profound impact.

At this point, the authorization of the Executive Council of the State Council, that is, allowing the State Council to authorize the launch, and then completing the amendment of the securities law, will bring the registration system's landing time ahead of schedule, which will greatly enhance the efficiency of the reform of the securities market.

However, the author believes that even if the authorization of the Executive Council of the State Council is adopted to implement the registration system in advance, it will be very complicated to authorize the State Council executive meeting to promote the registration system reform.

Undeniably, with the past

In contrast, the introduction of registration system will produce essential differences.

In essence, the registration system will not carry out substantive examination of the declared materials of listed companies.

In other words, for a listed company, as long as the declared material meets the requirements, all the information disclosed is disclosed, and whether the enterprise can be listed is completely judged by the market.

At this point, the gradual maturity of the registration system will also bring enormous impact on the capital market.

Among them, in the past, power rent-seeking, black box operations and other chaos played an essential blow; moreover, it will further enhance the market's survival of the fittest, forcing the market to continuously improve its own delisting rate, and to provide more fresh blood for the market.

At the same time, we will further improve the efficiency of capital market operation with the opportunity of market reform to meet the sustained and healthy development of the future market.

However, in the early days of registration system, it will inevitably bring some misunderstanding to market investors.

Obviously, at the beginning of its landing, with the gradual lowering of market access threshold, the supply of future market will also have a certain impact on the market. At that time, it will have a profound impact on the value of shell resources of listed companies, and at the same time, it will also constitute a sell-off pressure on high valuation stocks.

Therefore, for

At the early stage of landing, the market needs to control the rhythm and frequency of IPO reasonably, so that the market can gradually adapt to the new mode of registration system.

To this end, with the advent of the registration system, as the regulatory role of regulators has undergone tremendous changes, the future market will also need to further strengthen the supervisory and regulatory capabilities of regulatory agencies, and further strengthen the responsibilities of intermediaries.

It is understood that for the NPC to authorize the State Council to promote registration system, that is, first out policy and post amendment method, it also needs to go through several procedures.

First of all, the people's Congress needs to convene a meeting to authorize the State Council to push forward the registration system.

Moreover, a meeting of the Executive Council of the State Council is required, and the detailed rules for the implementation of the registration system shall be issued for the draft.

After the end of the consultation, the executive meeting of the State Council also needs to be deliberated and passed, promulgated and implemented.

As a result, it will take at least half a year to complete the whole process.

However, compared with the original scheme, the efficiency of the registration system will be improved by the way of the State Council's authorization. However, the early registration of the registration system will bring a lot of profound influence to the market.