China’s securities regulator has announced a series of measures aimed at strengthening market oversight and protecting investor interests. In a briefing held on Friday, the China Securities Regulatory Commission (CSRC) outlined plans to conduct thorough evaluations of initial public offerings (IPOs) and impose stringent penalties for regulatory violations, with the goal of enhancing the quality of listed companies.
Li Ming, head of the CSRC’s enforcement bureau, emphasized the critical importance of rigorous inspection and enforcement within the regulatory framework. “A market’s vitality and growth hinge on the universal trust in its fairness and equity,” Li stated. “We remain committed to diligently prosecuting each case of securities infringement to uphold the law.”
The CSRC’s strategy includes intensifying crackdowns on fraudulent listings, financial fraud, and the misappropriation of funds by major shareholders. By employing collective lawsuits, providing litigation support, and pursuing criminal prosecutions, the regulator aims to amplify the deterrent effect on wrongdoers and restore confidence in the stock market.
On the same day, China’s A-share market experienced a surge across its three primary indices. This upward trend coincides with a wave of significant stock buybacks by numerous listed companies following the Chinese New Year. Analysts suggest that these buybacks are contributing to increased market vibrancy and bolstering investor confidence.
Yang Delong, chief economist at First Seafront Fund, noted the positive impact of the buyback trend. “The recent prevalent buyback trend among listed companies has markedly enhanced market vibrancy and bolstered investor confidence,” Yang commented. “It demonstrates the potency of substantial share repurchases as a means to fortify investor trust.”
The CSRC’s commitment to stricter enforcement and the proactive measures taken by listed companies signal a concerted effort to foster a fair and transparent market environment. These developments are expected to contribute to the sustainable growth of China’s financial markets and provide valuable opportunities for global investors.
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China's securities regulator vows stricter enforcement of market
cgtn.com
