A Rare Stock Crash Occurred In China'S Securities History In 2015.

The local liquidity risk and market panic that A shares experienced in the stock market crash may actually lead to a partial financial crisis in China. Mainly refer to Stock market The crisis may also trigger the butterfly effect to other financial sub markets, such as commercial banks, bond markets, futures markets and so on. In particular, if the banks continue to fall in a deep way, large numbers of banks participating in the allocation of funds will suffer a lot of bad debts due to the loss of creditors and insolvency, which may trigger the risk of bankruptcy and bankruptcy of thousands of banks in the 90s of last century, and the consequences will be disastrous. At this critical moment, China decisively decided to immediately carry out strong government intervention and go all out to save the market.

The central bank, the Securities Regulatory Commission, the Banking Regulatory Commission and the CIRC decided to work together to save the market. (commentary: performance of the Chinese government departments to cooperate, strong rescue of the determination, confidence and strength, great role. It shows that the government's strength is very strong in China's economic development. )

　　 2015 Stock echange crash Serious consequences

1. the market value has been reduced by more than 10 trillion, which is very harmful.

2. investors (institutions and individuals) have suffered huge losses, and those who are forced to liquidate their shares are suffering from a serious impact on the national economy.

3. new shares were suspended, direct financing was interrupted, huge losses were made, and the real economy was hurt.

4. almost localized financial crisis.

A large number of institutions and individuals have increased the number of loans to buy stocks because of the large proportion of capital allocation. After the stock market crash, they lost several times. Many individuals and large and medium-sized retail investors were forced to liquidate their positions. If we fall for another few days, the larger proportion of the losses will lead to the failure of the huge loans of banks to recover and thousands of trillions of bad debts to happen. It is very likely that the local financial crisis that many banks will be hit by the stock market will endanger China's overall economy and the world economy, and the consequences will be disastrous.

From the strategic height, we should actively rescue the market.

along with equity market Beginning in mid June, the Chinese government took the opportunity to weigh the pros and cons. From a strategic perspective, the Chinese government decided to carry out government intervention and resolutely carried out a positive bailout. The specific measures and evaluations were as follows:

(1) in June 27th, after experiencing a "6.26" over 7% collapse, the central bank announced that since June 28th, financial institutions have implemented targeted reduction and cut interest rates by 0.25 percentage points. (commenting: This is mainly for the real economy; however, the stock market crash triggered the central bank's early move. )

2. In July 1st, the Shenzhen Stock Exchange announced the reduction of market transaction costs. )

(3) when the stock market crash occurs, the SFC will relax the two financial constraints and resolve it by itself. The securities and Futures Commission does not force the specific deleveraging; however, because of the fear that the loss will involve the company, the broker will force the liquidation. Therefore, the long-term role is great. )

In July 3rd, the SFC indicated that the number of IPO should be reduced. )

In July 3rd, the SFC indicated that the Central Huijin Company had entered the market operation and bought shares to save the market; (commentary: This is the most effective practical action. )

In July 4th, 25 public offering funds announced that they would actively apply for partial equity funds. )

In July 4th, 21 securities companies announced that they would contribute to purchase blue chips of not less than 120 billion yuan. )

Under the direct intervention of the State Council, a total of 28 enterprises in the Shanghai Stock Exchange and Shenzhen Stock Exchange suspended IPO and refunded the purchase funds. )

In July 5th, the central bank announced that it had given unlimited liquidity support to the securities companies. The securities and Futures Commission confirmed that the Central Huijin had bought the open fund index ETF. )

In July 5th, CICC restricted the opening of futures, especially the malicious opening of empty positions. (commentary: This is actually effective but controversial. )

The company has purchased shares in large quantities in the capacity of a "stabilization fund". From the beginning of July to the beginning of August 14th, the SFC announced the "general non market operation", and the total amount of funds used for the bailout was at least 1 trillion and 500 billion yuan. According to Wind information statistics, as of September 30th, in the list of the top ten tradable shareholders disclosed by A share listed companies, the certificate companies and Central Huijin listed 1365 listed companies, accounting for 49% of A shares, including 561 Shanghai stock market, 233 Shenzhen board, 354 medium and small board, 217 gem, and the purchase amount accounts for 7% of the total shares of A shares. )