after more than 2 years of rapid development, China's capital market has begun to take shape, which has injected large-scale capital and vitality into the rapid development of China's economy and has become a powerful supporting condition for the sustained, rapid and healthy development of China's economy. At the same time, the deep-seated problems and contradictions in the development of the capital market are gradually exposed, which seriously hinders the further development of the capital market.
developing the capital market is an important strategic task, which is of great significance to China's strategic goal of quadrupling the national economy in the first 2 years of this century. First, it is conducive to improving the socialist market economic system, giving greater play to the function of the capital market to optimize the allocation of resources, and effectively transforming social funds into long-term investments. Second, it is conducive to the structural adjustment and strategic reorganization of the state-owned economy and accelerate the development of the non-state-owned economy. Third, it is conducive to increasing the proportion of direct financing, improving the structure of financial markets, improving the efficiency of financial markets and maintaining financial security.
1. Problems in China's capital market
China's capital market has gradually developed with the process of economic system reform. Due to the incompatibilities in initial reforms and the limitations in system design, there are still some deep-seated problems and structural contradictions in the capital market, which restrict the effective play of market functions. At present, there are two main problems in China's capital market:
(1) Problems in the structure of the capital market
1. Unreasonable structure of investors
The structure of investors in China's capital market is unreasonable. At present, investors are mainly individual investors, and the number of institutional investors is relatively small, which is quite different. The investment behavior of individual investors is mainly speculation, and its investment behavior depends on the individual's investment preference for securities products, which is highly random in the market and increases instability; However, institutional investors pay more attention to the fundamental analysis of listed companies and choose strategic investment objects for rational value investment, which is an important force to stabilize the capital market. However, at present, institutional investors such as pension funds and insurance funds in the market are still relatively weak, which is difficult to meet the needs of investment institutionalization and hinders the function of this stable capital market.
2. Unreasonable structure of listed companies
(1) Unreasonable ownership structure of listed companies. Mainly reflected in: ① the state shares, legal person shares and other non-tradable shares are too concentrated, leading to the phenomenon of "one share dominates"; The proportion of public tradable shares is very low, and most of the shares cannot be listed and circulated; ③ The circulating shares are too scattered, and the proportion of institutional investors is small; ④ The largest shareholder of a listed company is not a natural person, but usually a holding company. The unreasonable ownership structure of listed companies has led to many problems: because state shares and legal person shares cannot be listed and circulated, state shares and legal person shares always account for the main part of listed companies' shares. In this case, although state-owned enterprises have been restructured into joint-stock companies, they are still the original state-owned enterprises in essence, and it is difficult to expect them to truly change their operating mechanisms. In this way, although listing helps enterprises to obtain funds directly in the market and thus alleviate their operational difficulties, the impact on their corporate governance structure may not be ideal in the long run. At the same time, in the case that state-owned shares and legal person shares are always dominant, the scale of circulating shares is small, and it is easy to form a situation in which large institutions manipulate the market. Moreover, because state-owned shares cannot be traded and transferred freely, asset merger and reorganization determined by the market cannot occur. Mergers and acquisitions in the stock market can only happen at the behest of government departments, which determines that speculation is inevitable in China's stock market.
(2) The composition structure of listed companies is unreasonable. Mainly reflected in: ① the proportion of state-owned enterprises is large, and the proportion of non-state-owned enterprises is small; The proportion of large and medium-sized enterprises is large, and the proportion of small enterprises is small; (3) There are many state-controlled listed companies, but few listed companies in the whole enterprise; ④ There are many listed companies in traditional industries and few listed companies in high-tech industries. For example, among more than 1,2 listed companies in Shanghai and Shenzhen stock markets, the proportion of private enterprises listed through direct listing and shell buying is only about 16%; There are great defects in the distribution of industries, such as too many listed companies in traditional industries and more than 85% enterprises in competitive fields; More than 65% of the shares cannot flow, which is a great waste of social resources.
3. The structure of financial products is unreasonable
(1) The product structure of traditional financial services is single. In the banking industry, the business is concentrated in the traditional retail business areas such as credit. Even in the traditional retail business, there is a lack of a series of products that provide all-round financial services for enterprises, and the wholesale business such as financial intermediaries is seriously insufficient; However, foreign banks will provide a series of financial services in the whole development period, maturity period and even the second venture. In the securities market, China's stock market has developed rapidly compared with the bond market, and there are also problems in the circulation of legal person shares and state-owned shares, as well as the merger of A shares and B shares.
(2) The development of financial derivatives lags behind. Derivative instruments are one of the important means for enterprises to avoid or disperse management and investment risks. In 1991, China established a futures market, but the trading varieties were limited to commodity futures such as mung beans and non-ferrous metals. So far, interest rates, exchange rates, stock index futures, options, currency swaps and equity swaps have not been introduced to avoid financial risks. Due to the lack of financial derivatives necessary for portfolio investment, all kinds of investors tend to behave in the same way, which is easy to form a unilateral operation of the market and may lead to risk accumulation when the macroeconomic operation and financial regulation direction change.
(3) Lack of innovation in financial instruments. In the development trend of globalization and integration of financial industry, the financial industry in various countries has rapidly realized the electronization and networking of financial industry with the development of electronic technology, in order to improve competitiveness and expand the space for survival and development in the increasingly fierce international competition. China's banking and securities industry has basically realized electronization, and the networking of banking and securities business has also started, but there is still a big gap compared with the developed level abroad. At the same time, due to institutional problems, financial institutions are fighting for each other in the process of electronization and networking. For example, the automatic withdrawal system and settlement system of banks operate independently and are incompatible with each other, which increases the development cost of electronization and networking of the financial industry, and also inhibits their rapid development due to uneconomical scale and insufficient convenience.
4. The hierarchical structure of the capital market is unreasonable
China's capital market system structure is single and lacks hierarchy. First of all, only from the perspective of facilitating supervision and preventing risks, a single capital market with Shanghai and Shenzhen exchanges as the center has been formed, and there is no multi-level market system to meet market demand. At present, there is only the main board market in China. Although the SME board has been launched, there is still a considerable distance from the real second board market. The third board market is far from forming a climate, and the capital market lacks hierarchy, which cannot meet the diversified investment and financing requirements of investors and fundraisers. The property rights trading system is not perfect and the development of the capital market system is not perfect.
(II) Problems in the capital market system
1. Institutional problems
The problems in China's capital market system are mainly institutional problems. China's capital market is a "planned" capital market because of the intervention of the government and administrative agencies. First of all, the capital primary market is subject to administrative monopoly, which affects the socialization of the market financing system and the opening of financing channels. In order to ensure local fiscal revenue, local governments rarely consider the growth of listed companies. Therefore, enterprises will focus on "government public relations" and "packaging and listing", rather than on production and operation and structural adjustment. Many listed companies didn't make substantial restructuring before going public. The main purpose was to "circle money" and failed to make effective use of the money. In addition, the issue price-earnings ratio is also limited. One of the reasons why brokers can't perform their duties is that the primary market operates in a "guaranteed profit but no compensation" way, and the interests of investors can't be protected. Before 1999, the P/E ratio of stock issuance was strictly restricted. Even if the restrictions on P/E ratio were relaxed later, although the rate of return in the primary market declined, it did not change the reality of "guaranteed profit but no compensation". Secondly, there is an abnormal phenomenon of "policy market" in the secondary capital market. In China's capital market, the government has a strong protective color for enterprises, which leads to the failure of the stock market to form a market mechanism of survival of the fittest. The existence of "policy market" makes the stock market change with the change of government attitude.
2. Problems in mechanism
To some extent, problems in system are the main reasons for the slow development of China's capital market. It is precisely because of the lagging system that there are some problems in China's capital market, such as ineffective competition mechanism, weakened restraint mechanism and imperfect incentive mechanism.
(1) the competition mechanism is invalid. In listed companies, firstly, there is a lack of market subject with clear property rights relationship, and secondly, there is a lack of market price formed by competition mechanism, which leads to the failure to form an effective resource allocation mechanism in the capital market, and the administrative mechanism has replaced the market mechanism to some extent.
(2) The restraint mechanism is weakened. Most listed companies in China are transformed from state-owned enterprises, and there is a phenomenon of "transition" without transformation. Mainly manifested in: First, "flop". Change the original name enterprise that has not been fundamentally reformed into a joint stock limited company and establish the corresponding organization. The second is to "circle money." Raise funds at a premium in the listing to ensure the qualification of rights issue and achieve the purpose of circling money. In listed companies, state-owned shares are in a controlling position and in a state of "virtual property rights". The original competent department of listed companies intervened in the enterprise as a representative of state-owned shares, and was not responsible for the consequences; Moreover, most of the members of the board of directors come from major shareholders and enterprises, so it is difficult to really play a supervisory role.
(3) The incentive mechanism is not perfect. Operators of listed companies in developed countries implement the income form of combining immediate salary with long-term salary, which has great incentive effect; However, in China, there is only the incentive method of immediate salary, and the change of stock price of listed companies has no interest relationship with the company's decision-making and operation. As a result, operators pay little attention to the long-term development of enterprises and often sacrifice long-term interests for immediate interests.
3. Rules
The normal operation of the capital market must follow the laws of the market economy and be based on a sound legal system. At present, China has not really established a sound legal system, lacking a complete and effective market supervision system and institutionalized communication and coordination mechanism.
The functions and levels of supervision departments at all levels are unclear, and at the same time, there is no set of strict and effective measures to ensure them to perform their functions and make them bear corresponding responsibilities, resulting in a large number of post-event supervision and reducing the efficiency of supervision. With the development of the securities market, the management authority and efficiency of the securities management organs need to be strengthened, and the laws and regulations on which supervision is based are still not perfect, which lags behind the rapid development of the securities market and increases the difficulty of supervision. For example, the Securities Law has been promulgated, but it lacks corresponding implementing rules and relevant laws; The Securities Exchange Law and the Securities Credit Rating Law have not yet been promulgated. In addition, the formulation, promulgation and implementation of the Securities Law are too slow, which affects the development of the securities market.
ii. countermeasures to solve the problems existing in China's capital market
the problems existing in China's capital market have seriously restricted its healthy development, and effective countermeasures and measures must be taken to promote its further development and tend to be mature and perfect. Starting from the actual situation in China, learning from the successful experience of foreign capital markets, and aiming at the structural and institutional problems existing in China's capital market, the following main countermeasures should be taken to improve and standardize China's capital market:
(1) Countermeasures to solve the structural problems of the capital market
1. Develop institutional investors and constantly improve the investment subject structure
Compared with individual investors, institutional investors have expert financial management and can gather a large number of idle funds into investment activities. Vigorously developing investment funds and increasing institutional investors are important measures to improve the investment structure, raise the level of market activities and gradually standardize the capital market.
in recent years, China's securities investment funds have made great progress under the promotion of the policy of vigorously developing institutional investors. In order to give full play to the advantages of institutional investors in portfolio selection and hedging instruments, it is necessary to develop various securities investment funds such as open-end investment funds on the basis of improving the operating conditions of institutional investors. At the same time, improve the investment environment in the capital market, solve the obstacles for other investment institutions such as social security funds, enterprise annuities and supplementary pension funds to enter the market, broaden the channels for compliance funds to enter the market, and standardize the development of foreign institutional investment forces such as QFII, so that institutional investors will gradually become the dominant force in China's capital market.
2. Constantly adjust and improve the structure of listed companies
(1) We should rationally adjust the ownership structure of listed companies, relax the policy restrictions and conditions for enterprises to go public, increase the proportion of private and foreign-funded enterprises in listed companies, and let more companies in economic pillar industries and enterprises with good performance returns enter the capital market, thus changing the current image of listed companies as a whole.
(2) We should solve the problem of "one share dominates" and give full play to the advantages of the multi-shareholding system. Replace the multi-level legal person system with the business department system to realize the centralized and unified financial management of the whole company. Establish an independent state-owned stock exercise institution, improve the working procedures of the board of directors, strengthen the supervision of the board of directors on the executive level, and establish a strong and responsible executive institution. Establish an owner-led salary incentive system for managers, and strengthen the supervision of listed companies on the basis of standardizing the securities market.
(3) We should gradually realize the full circulation of shares of listed companies, actively and steadily solve the problem of non-tradable shares, and lay a foundation for promoting the healthy and rapid development of the capital market. Actively and steadily solve the problem of non-tradable shares of listed companies, including "standardizing the transfer of non-tradable shares of listed companies to prevent the loss of state-owned assets" and "steadily solving the circulation problem of shares that cannot be listed and circulated at present". In the first stage, the basic institutional framework for the reduction and circulation of state-owned shares is formulated, and the circulation of state-owned shares should follow the idea of "rules first, decentralized decision-making, classified pilot and category voting". Select a group of state-controlled listed companies in competitive fields to carry out the pilot reduction and circulation of state-owned shares, forming a strong demonstration effect. The second stage is to promote to all listed companies. Intermediaries such as securities companies and listed companies work together to design the scheme. Securities companies can give full play to their professional advantages such as financial consultants, mergers and acquisitions, and accelerate the process of circulating state-owned shares.
3. Establish a financial product innovation mechanism and constantly improve the financial product structure
The product structure of China's capital market is still relatively simple. It is necessary to establish a market-oriented product innovation mechanism, encourage market participants to carry out independent innovation, enrich the product structure of the capital market, innovate financial products, and enhance market vitality. We should actively expand the bond market, improve and standardize the issuance procedures, and expand the scale of corporate bond issuance; Actively develop financial derivatives such as futures, options and forwards, straighten out the relationship between money market, stock market, bond market, insurance market and financial derivatives market, and build an organic combination between multiple sub-markets in the financial market.