Judging from the trend of A-shares after the listing of new shares over the years, whether it is the main board, small and medium-sized board, GEM or even the Science and Technology Innovation Board, it is relatively rare for new shares to break on the first day of listing, and most of them will. Not a bad premium. And because the winning rate for new stocks is very low, winning new stocks in the past was like winning the lottery, almost equal to a steady profit. With the GEM registration system, will the situation remain the same? Today I will talk to you about the issue of new shares under the GEM registration system. First, let’s review the conditions for participating in issuing new shares on the GEM: First, investors must meet the conditions for opening the GEM. For newly opened GEM investors, the average daily assets in the securities account must reach 100,000 in the first 20 trading days. Yuan or above, and have more than two years of securities trading experience, and sign the "GEM Risk Disclosure Statement" at the same time. Investors who have already opened the GEM only need to sign the new version of the "GEM Risk Disclosure Statement". The second is to meet the market value requirements for new shares. If T day is the new share subscription day, then based on the average market value of positions in the 20 trading days before T-2, if the market value of Shenzhen securities held is more than 10,000 yuan, every 5,000 yuan Market value can be used to subscribe for 500 new GEM shares. The portion less than 5,000 is not counted, so the number of new shares can only be an integral multiple of 500 shares. Secondly, what are the changes in the GEM under the registration system compared to before. Under the registration system, the threshold for companies to go public is lower and the approval process is faster. Therefore, more companies will be listed on the GEM in the future, and the opportunities for investors to buy new shares will be greatly increased. According to estimates by industry insiders, the winning rate of new GEM shares will more than triple compared to before. In addition, due to the relaxation of listing standards, the quality of new shares listed may also vary greatly, and the stock price trends may also be very different. Referring to the trend of new stocks under the registration system of the Science and Technology Innovation Board, the average increase was the largest on the first day of listing, and the increase fell sharply five days after listing, and even broke the stock price on the 10th day after listing. The reason is that the average issuance price-to-earnings ratio of new stocks on the Science and Technology Innovation Board is 58 times, while the previous average issuance price-to-earnings ratio of new stocks on the Science and Technology Innovation Board was only 23 times. However, the performance of most of the new stocks listed on the Science and Technology Innovation Board is not ideal, or is not consistent with such a high premium. As a result, stock prices can fall sharply after a brief period of emotional hype. Judging from the trend of new stocks under the GEM registration system, the first batch of "Eighteen Arhats" that were listed first performed very well, with an average increase of 154.9% on the first day of listing. Among them, Kangtai Medical had the largest increase, and the largest intraday increase actually reached the issue price. More than 30 times. The average issuance price-to-earnings ratio of "Eighteen Arhats" is 39 times. Although it is lower than the average issuance price-to-earnings ratio of new stocks on the Science and Technology Innovation Board, it is actually on the high side. Why is the quality of new stocks on the Science and Technology Innovation Board better than those on the GEM registration system on average, but the performance of new stocks after listing is that the GEM is better than the Science and Technology Innovation Board? The reason is that the trading rules of the two are almost the same, and the threshold for opening the GEM is lower. Many retail investors who cannot buy the Science and Technology Innovation Board can buy the GEM. Since there are a large number of retail investors who like to chase prices, the main players are more willing to go long. powerful. The stronger the funding commitment, the better the stock price performance will be. Generally speaking, the growth rate of new shares under the GEM registration system on the first day of listing is very impressive. After 5 days of listing, the stock price will show varying degrees of decline. However, compared with the subscription price of the new shares, the profit is still very considerable. After 10 days of listing, Even longer, it is difficult to say that it will still be profitable. Therefore, it is believed that the GEM registration system will basically not cause losses when launching new investments, but it is not suitable for long-term holdings. If you are really optimistic about a certain stock, you can also sell it after the first round of speculation is over and buy it again after the stock price drops to ensure maximum profits.