Editorial: China'S Securities Market Reform Can Provide Support For The Development Of Quality And Innovative Enterprises.

Recently, a number of media reports reported that Jingdong has submitted a listing application in Hongkong in a confidential way, and intends to make a two listing. Jingdong may sell up to about 5% of its shares. It is expected to be listed as early as June. As a competitor to Jingdong, Ali has achieved the two listing on the Hongkong Stock Exchange last year, making mainland Ali and Tencent's two largest Internet Co join the HKEx.

According to Wind statistics, up to now, the number of stocks in the US market is 248, with a total market value of up to 15400 billion US dollars. According to relevant media reports, in addition to Jingdong, Baidu, NetEase, Ctrip, Iqiyi and other stock taking companies may soon apply to the HKEx for a two listing. For these reports, the HKEx said, "we have never commented on individual stocks. The Hongkong exchange welcomes all listed companies that are in compliance with the listing rules. According to statistics, at present, there are about 19 stocks in line with the two listing standards of the HKEx, including many spells, Tencent music, good future, micro-blog and so on.

There is a long story about the collective regression of stocks. A few years ago, when China pushed ahead with the reform of the securities market and planned to set up a science and innovation board, a large number of stock companies wanted to return, and the 360 was a successful case. Since 2000, the emergence of China's stock market is a product of a specific historical stage. On the one hand, most of the Internet based stocks are accepting venture capital from overseas, and they need an exit channel. On the other hand, most of these stocks listed on the stock market are not listed on the Chinese stock market because they are not eligible. This resulted in the stock market at that time could only choose NASDAQ listing.

Now, whether it is the HKEx or the registration system that is being implemented in the mainland, it has given innovative designs to the special VIE structure and the different rights arrangements of the same stock. That is to say, the obstacles to the return of the stock return have been greatly reduced, which is possible for their collective return. For example, Hongkong also actively discussed that the Hang Seng Index lowered its financial weight and allowed it to be included in the same shares and two listed companies. That is to say, the Chinese stock market, including the Hong Kong stock exchange, has created the conditions for the return of China stock market and the listing of similar entrepreneurial enterprises in China.

It was at this time that after the exposure of Rui Xing coffee fraud incident, the US government also took the opportunity to suppress stocks. Jay Clayton, chairman of the securities and Exchange Commission (SEC), even suggested that investors should not invest funds in Chinese Listed Companies in the US because of information disclosure problems.

Is there only an option to list in the US? In fact, China and Asia are not short of funds, and most of the funds in the US stock market and bond market come from Asia. Asia has just lacked a stock market that accepts and welcomes entrepreneurial companies and is willing to make flexible rules. The success of NASDAQ is that its emergence and rules are mutually compatible and mutually successful with the rise of the new US economy. Now, there is no shortage of innovative enterprises in China. A lot of Unicorn companies are queuing up to go public. China lacks capital, but lacks a standardized, transparent and open local Nasdaq market. However, at present, Hongkong, China is creating new rules for these companies, eliminating many obstacles for the return of China stock market, and Shenzhen gem is also in line with the science and technology innovation board.

We are at a historic moment. China is improving its own securities market and vigorously developing direct financing. The financial assets of Chinese residents account for only 30% of household assets, and a considerable proportion of them invest in real estate. At the same time, China vigorously promotes technological innovation and promotes the development of digital industries and other emerging strategic industries. These areas will generate a large number of technological innovation oriented SMEs, providing a continuous listing of resources for the science and innovation board and gem. It can be said that China has prepared for its own "Silicon Valley + NASDAQ" era.

The return of the mature stock companies such as Ali and Jingdong will lay the foundation for further internationalization of China's securities market, including Hongkong. With the advent of the new industrial revolution and the wave of digital economy, China's mutual support and mutual achievement in the field of Finance and science and technology innovation will be promoted. Unlike 20 years ago, China's securities market has been well prepared to provide financing services for more and more high-quality Chinese technology companies. This is a historical opportunity for China's capital market.

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