The 2022 annual meeting of Boao Forum for Asia ended at sunset on April 22. On China's capital market, what signal does the voice of the financial regulatory authorities in Boao release? What are the benefits?
continued opening to the outside world
In the era of globalization, the trend of integration is irresistible.
With regard to the opening of capital markets and the opening of banking and insurance industry, Liang Tao, vice chairman of the China Banking and Insurance Regulatory Commission, shared at the Boao Forum for Asia the five key points of Bank Of China Limited(601988) insurance industry's next step of opening up: paying more attention to institutional opening-up, paying more attention to the quality and efficiency of opening-up, paying more attention to fairness and transparency, paying more attention to the concept of opening-up, and paying more attention to the rhythm and security of opening-up.
Lu Lei, deputy director of the State Administration of foreign exchange, also mentioned that he would work with relevant departments to unify the fund management rules of foreign investment in the domestic bond market, optimize the fund management of domestic bonds ("Panda Bonds") issued by overseas institutions, and further improve the overall openness of China's bond market.
In an interview with Zhongxin Jingwei, Yang Chang, chief analyst of Zhongtai Securities Co.Ltd(600918) Research Institute, said that in the short term, despite the repeated impact of the epidemic and the periodic disturbance of China's economy, it can be expected that with the gradual control of the epidemic, including policies and measures such as real estate, infrastructure and consumption, it is still expected to promote the stable and upward operation of China's economy. In the long run, China's economy has always been the core driving force driving global economic growth, which has also laid a solid foundation for China's capital market to build global competitiveness.
Western Securities Co.Ltd(002673) fixed income chief analyst Luo Yunfeng believes that the core purpose of further liberalizing capital financial projects is to attract foreign capital inflows. The inflow of foreign capital depends on the profit, and the profit depends on economic growth. At present, the core of improving competitiveness is to improve economic growth. Improving economic growth is one thing from the policy level, market-oriented reform.
China Merchants Securities Co.Ltd(600999) chief Macro Analyst Xie Yaxuan told China Singapore Jingwei that the policy direction and strategy of opening up the capital market in both directions and promoting capital market reform through opening up should not be changed because of short-term market turmoil.
Luo Zhikai, the chief economist of Guangdong Securities Research Institute, has always been determined to promote the two-way capital flow in the foreign market and promote the two-way capital flow of China's securities market. The reform of China's capital market should continue to promote marketization and internationalization. There is still room to improve the proportion of foreign capital in China's bond market and stock market.
foreign capital inflow is still considerable in the future
At the close of Friday (April 22), the northbound funds, which are extremely sensitive to the market wind direction, increased their positions against the trend again, continued the long trend, continued unilateral inflow on the same day and accelerated the entry in the afternoon.
According to the data, northbound funds bought a net 6.765 billion yuan on April 22, of which more than 1 billion yuan was raised in the late call auction. Among them, the net purchase of Shanghai Stock connect was 3.611 billion yuan and that of Shenzhen Stock connect was 3.154 billion yuan.
Looking back at the northern capital dynamics this week, it was traded for 4 days, with a slight net purchase of 445 million yuan. After the market fell below 3100 points, northbound funds began "bottom reading" for two consecutive days. From the whole April, northward funds still showed a net inflow trend.
At the Boao Forum for Asia, Fang Xinghai, vice chairman of the CSRC, said that in recent years, China has made great progress in introducing funds from overseas long-term institutional investors, but compared with overseas markets such as Japan and South Korea, China still has a lot of room to rise in this regard.
He introduced that the proportion of foreign capital in the circulating market value of A-Shares is about 4.5%, which is still low. Foreign capital from South Korea and Japan accounted for 20% to 30% of the market value of the stock market. The net inflow of foreign capital this year will be considerable.
Yang Delong, chief economist of Qianhai open source fund, told Zhongxin Jingwei that both China's stock market and bond market have a certain investment attraction.
"In the past few years, a large number of foreign capital has flowed into China's stock market and bond market, and the capital flowing into the stock market alone has reached more than 300 billion a year." Yang Delong believes that on the one hand, this reflects the improvement of China's opening-up level, and also reflects that foreign investors are still interested in China's high-quality assets.
Yingda securities Li Daxiao said that the proportion of foreign capital has increased year by year, but on the whole, the proportion of foreign capital is still low. Compared with the mature market, there is indeed a lot of room. Judging from the trend in recent years, the probability of continued inflow of foreign capital is still relatively large.
supervision focuses on market fairness and integrity
Recently, new shares in the A-share market broke frequently, and once "stable happiness" became distress.
In this regard, Fang Xinghai said, "this is not too many IPOs, but the pricing is more appropriate. If the market does not recognize you, it must be recognized by the market. In fact, the pricing ability needs to be further improved".
According to Yang Delong's analysis of the reasons for IPO break, the pricing ability needs to be improved, which also involves the inquiry of new shares. In order to make the quotation fall within the range of new share pricing, some institutions tend to make upward quotation, which further leads to the general high issuance price of new shares, resulting in a sharp rise in the break rate. In addition, the secondary market itself is depressed, and the break occurs frequently.
He believes that in the future, while reforming the registration system, increasing the fairness and fairness of the letter phi and improving the pricing power will help to change the phenomenon of frequent breaking of new shares and enhance the confidence of the secondary market.
The registration system is a major reform since the development of China's capital market. It allows the market mechanism to select and price listed companies, improves the investment value and adjusts the structure of listed companies.
Fang Xinghai said that the registration system reform essentially makes the market more market-oriented in terms of issuance and pricing. Investors make their own decisions. The CSRC is responsible for the quality of the letter phi. The letter phi is true, accurate and complete. The pricing and whether to buy stocks are mainly judged by investors themselves.
Fang Xinghai mentioned that in the future, the regulatory focus will be on the fairness and fairness of the market and the accuracy and integrity of information disclosure, and more efforts should be made in this regard. "If the registration system reform is done well, the market will be more active and resilient, and the market scale will be larger, providing a better foundation for attracting more overseas funds."
Chen Li, chief economist of Chuancai securities and director of the Research Institute, analyzed in an interview with Zhongxin Jingwei that after the reform of the registration system, there are higher requirements for the quality of listed companies and the professional ability of intermediaries. Intermediaries should especially improve their research ability and valuation and pricing ability. At the same time, we will intensify the crackdown on market violations, guide and require listed companies to regulate information disclosure.
"At present, in order to ensure the quality of listed companies, the requirements of regulators for the issuance of new shares have not been relaxed, which is also responsible for investors. Intermediaries who fail to fulfill their most basic obligations should be severely punished, while investment banking and research business should be more professional and refined. Only by adhering to the professional attitude and level of investors and listed enterprises can we better serve the real economy." Chen Li further said.
Li Daxiao believes that finding a balance between the interests of investors and financiers is the key to solving the problem
Fang Xinghai: the break shows that the IPO pricing ability needs to be improved! The Sino US regulatory negotiations are progressing smoothly, and officials from the CBRC and safe have also spoken out
Liang Tao, vice chairman of the China Banking and Insurance Regulatory Commission: domestic and foreign investment should be treated equally, and the opening-up of the banking and insurance industry should be strengthened
