Securities Times reporter Cheng Dan
The market-making transaction of the Beijing Stock Exchange will be implemented today, with 13 securities firms participating, involving 36 underlying stocks for market-making. This is a key link in the combination policy of the Beijing Stock Exchange and the New Third Board to deepen reforms.
Zheng Pingde, head of the market-making and trading department of China National Finance Securities, believes that the introduction of the market-making mechanism by the Beijing Stock Exchange will help improve stock liquidity, unleash market vitality, enhance market resilience, balance both ends of investment and financing, and help reduce investment. It is another beneficial practice to comprehensively promote the high-quality development of the Beijing Stock Exchange and the stock transfer system.
The first batch of market-making target stocks on the Beijing Stock Exchange has a total of 36 stocks, with a total market value of 112.232 billion yuan and an average price-earnings ratio of 16.98 times. Among them, 22 stocks are constituent stocks of the Beijing Stock Exchange 50, with a weighting ratio of 58.77%. Private enterprises accounted for nearly 80%, and small and medium-sized enterprises accounted for more than 60%. Specifically, the overall performance of the first batch of market-making target stocks in the first three quarters of last year maintained steady growth. The average growth rate of operating income was 23.19%; the average growth rate of net profit was 18.82%, showing strong resilience and vitality. There are 19 companies recognized by the Ministry of Industry and Information Technology as “little giant” enterprises specializing in special innovation, accounting for 52.78% of the total. The average R&D intensity in 2021 will reach 8.40%, and the innovation ability of enterprises is relatively outstanding.
A reporter from the Securities Times learned that in order to promote the continued positive effect of the market-making system, CBEX will actively promote the expansion of the qualifications of market makers in CBEX after the business is launched, and improve the supporting business system including securities market making in due course.
The first is to actively promote the expansion of the qualifications of market makers on the North Exchange. Considering that the companies listed on the CBEX are currently sourced from the NEEQ market, in order to improve the implementation effect of the CBEX’s market-making business and promote the benign interaction between the NEEQ and the CBEX’s market-making business, the CBEX will, on the premise of ensuring that risks are controllable, Next, actively promote the expansion of the scope of market makers on the Beijing Stock Exchange, and try to include more NEEQ market makers with certain market making experience, better market making performance and better risk control.
The second is to improve the market-making system of securities lending. Allowing market makers to carry out market-making business by borrowing securities from shareholders of listed companies will help reduce the inventory management risks of market makers, enrich market-making trading strategies of market makers, and thus increase the enthusiasm of market makers to participate and further exert the institutional effect .
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