Xiao Gang, chairman of the China Securities Regulatory Commission, believes that the administrative intervention in the audit system is too much and subjective, and it is difficult for market participants to make stable and clear expectations, which leads to the game between market participants and regulators replacing the game between market participants, which is not conducive to standardizing the behavior of market participants and the stable operation of the market. To solve these problems, we must promote the reform of stock issuance registration system.
Raising funds by issuing stocks is the natural right of enterprises.
Judging from the practice of implementing the registration system in some countries and regions, a major feature of the registration system is that enterprises have the natural right to issue shares to raise capital. As long as it does not violate the national interests and public interests, whether, when and at what price should be decided by enterprises and the market.
Xiao Gang believes that information disclosure is the regulatory concept of registration system, which requires enterprises to disclose sufficient and necessary investment decision-making information to investors. The government does not judge and "endorse" the asset quality and investment value of enterprises. Regulators are not responsible for the authenticity of information disclosure, but are responsible for the integrity, consistency and understandability of the prospectus. Investors make their own investment decisions and bear their own investment risks based on publicly disclosed information.
The ingenuity of the registration system lies in that it can not only solve the problems caused by information asymmetry between issuers and investors, but also standardize the responsibility boundary of regulatory authorities, avoid excessive intervention by regulatory authorities, stop' endorsing' issuers, and not pay too much attention to the past performance and future development prospects of enterprises. These are all left to investors to judge and choose. The quantity and price of stock issuance are played by all parties in the market, so that the market plays a decisive role in the allocation of resources.
Establish a market-oriented new share issuance system.
According to Xiao Gang, in the preliminary plan currently drawn up, the overall goal of the reform of the stock issuance registration system is to establish a market-oriented, responsibility-oriented, disclosure-oriented, predictable and powerful supervision system. Respect market rules, minimize and simplify administrative examination and approval, clarify and stabilize market expectations, strengthen market internal constraints, and establish a market-oriented new share issuance system.
At the same time, speed up regulatory transformation and strengthen post-event supervision. We must adhere to the rule of law, rule of law. Improve the legal system of the capital market, improve the supervision system of stock issuance and listing and the investor protection system. Promoting the reform of the registration system may face some risks and problems. For example, it may affect investors' psychological expectations of stock market expansion, some enterprises may issue at high prices, some companies may have low quality, and the risk of fraudulent issuance will increase.
We should adhere to the principle of gradual and steady implementation, base ourselves on the national conditions, take practical problems as the guide, adhere to overall planning and coordination, strengthen the top-level design of the market, and form a joint force of reform to promote the stable and healthy development of the market.