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The Merger Of The Two Boards And The Formal Implementation Of "Shenzhen Main Board"

2021/4/7 13:55:00 0

MotherboardSailing

On April 6, Shenzhen Stock Exchange's main board and medium and small board completed the merger.

The original "002001-004999" securities code range of the SME board is used by the main board. The names of the original SME board index, SME board composite index and SME 300 index are also adjusted respectively. The front-end interfaces such as trading and market display will no longer set up the SME board stock zone.

After 17 years of trials and hardships, the small and medium-sized board officially withdrew from the historical stage, but its impression on the capital market will not be erased.

Since June 25, 2004, the first batch of 8 companies listed on the SME board, the SME board has served 1004 listed companies. During the IPO suspension period of the original Shenzhen Stock Exchange main board, the total IPO fund-raising of SMEs reached 674.572 billion yuan, and the accumulated market value of these enterprises is as high as 135700 yuan.

As a smooth transition from the main board of Shenzhen stock market to the growth enterprise market, the small and medium-sized board has completed its historical mission. In the view of industry insiders, the merger of SME board and Shenzhen Main Board will start a "new chapter" in the capital market. In the future, Shenzhen market will form a market pattern with the main board and gem as the main body. After the merger, the total market value of the new main board of Shenzhen stock market will exceed 23 trillion yuan, which will play an important role in the multi-level capital market system.

"After the merger of the main board and the small and medium-sized board, the Shenzhen stock market has formed a market pattern with the main board and the growth enterprise board as the main body. After the merger, the positioning and division of labor between the main board and the growth enterprise market are more clear. The main board of Shenzhen stock market is positioned to support the financing development of relatively mature enterprises. The growth enterprise market mainly serves the growth oriented innovative and entrepreneurial enterprises, and provides financing services for different types of enterprises at different stages of development. The service function of the capital market for small and medium-sized enterprises will not be weakened by the merger of the two boards It's growing. " Xie Yaxuan, chief Macro Analyst of China Merchants Securities R & D center, pointed out in an interview.

Small and medium-sized board retired after success

Looking back at the magnificent history of the capital market in the past 30 years, the emergence of the small and medium-sized board is not only an important step for the capital market to serve the real economy, but also a key measure to establish and improve the multi-level capital market system.

In 1990, the Shenzhen Stock Exchange officially operated and set up the main board. After ten years of operation, in order to strengthen technological innovation and develop high-tech industry, Shenzhen Stock Exchange planned to set up gem market by benchmarking with NASDAQ. At that time, in order to concentrate on the preparation of gem, Shenzhen Stock Exchange suspended the IPO business for the next four years.

However, in 2000, the U.S. Internet bubble burst, the growth enterprise market in Hong Kong did not develop as expected, and the Shenzhen stock market's plan to set up the gem was shelved. Until May 2004, in order to broaden the direct financing channels of small and medium-sized enterprises and promote the construction of gem step by step, Shenzhen Stock Exchange planned to set up small and medium-sized board in the main board to explore the way to build a multi-level capital market.

In terms of system design, since its establishment, small and medium-sized boards have been located in the main board and operated under the system framework of the main board. According to the Shenzhen Stock Exchange, the main institutional arrangements for listing, information disclosure, trading mechanism and investor suitability requirements of the SME board are basically consistent with those of the main board. Small and medium-sized board has experienced many years of development, and it also converges with the main board in some plate characteristics.

The establishment of SME board has a strong meaning of "transition". One of its original intention is to promote the construction of gem, and provide financing platform for SMEs under the background of gem not yet opened.

Judging from the 17 years' operation, the SME board has successfully completed this historical mission. First of all, in terms of IPO Financing scale, the SME board has served 1004 listed companies in total, and the total amount of IPO raised is 674.572 billion yuan. In the same period, only 5 enterprises on the main board of Shenzhen Stock Exchange have been listed through absorption and merger, and IPO issuance has stagnated for more than 20 years.

In terms of stock market value, the development of small and medium-sized board has also bred many high-quality leading enterprises. Among them, the latest total market value of Hikvision, which has the highest market value, has exceeded 500 billion yuan, followed by BYD and muyuan shares with market value of 455.9 billion yuan and 398.1 billion yuan. Among the main board stock market values, Wuliangye ranked first with a market value of 1.1 trillion yuan. In addition, Midea Group and Ping An Bank ranked second and third, with a market value of 613.4 billion yuan and 417.2 billion yuan.

In terms of the third quarter performance in 2020, the total net profit of SMEs owned by their parent companies will reach 308.247 billion, of which the performance of muyuan shares and Bank of Ningbo will exceed 10 billion. Wind data shows that after the merger of small and medium-sized board and main board, the total number of listed companies on the new main board of Shenzhen stock market has reached 1466, with a total market value of more than 23 trillion yuan.

In the view of insiders, the small and medium-sized board which is homogenized with the main board of Shenzhen Stock Exchange "quits the historical stage" is the inevitable result of the development and construction of multi-level capital market. The merger of the two boards will make the plate positioning more clear, help to promote the market-oriented allocation of capital elements, and further improve the ability of the capital market to serve the real economy.

"The merger of Shenzhen main board and small and medium-sized board can simplify supervision, restart the issuance of main board, actively serve the new economy, and continue to deepen the reform of financial supply side. This is because the merger of the two boards will enable the Shenzhen Stock Exchange to clarify the functional orientation of the board, enhance the vitality and toughness of the capital market in general, enable investors to form a different risk perception between the approval system main board and the registration system growth enterprise market, and reduce the burden of securities supervision, so as to achieve precise supervision. Therefore, the merger of Shenzhen main board and small and medium-sized board is keeping pace with the times and can form a long-term system favorable for the capital market. " Tian Lihui, Dean of the Institute of financial research and doctoral supervisor of Nankai University, pointed out in an interview.

"Shenzhen new main board" set sail, short-term market impact is limited

In the specific implementation process, the short-term impact of Shenzhen Stock Exchange and Shenzhen Stock Exchange on capital market is limited.

On April 6, the first trading day of the formal operation of the new main board of Shenzhen stock market, the major indexes of Shenzhen stock market performed smoothly, with the small and medium-sized 100, small and medium-sized 300 and small and medium-sized composite index rising by - 0.11%, 0.12% and 0.28% respectively, which was basically consistent with the market performance on that day.

According to the introduction of Shenzhen Stock Exchange, the merger of Shenzhen Stock Exchange and Shenzhen Stock Exchange follows the principle of "two unification and four invariance" (unifying business rules, unified operation supervision mode, and keeping the conditions of issuance and listing unchanged, investor threshold unchanged, trading mechanism unchanged, and securities code and abbreviation unchanged).

As the merger only makes adaptive adjustments to some items, it will not make substantial changes to the compilation methods of Shenzhen main board and small and medium-sized board indexes, nor will it have a substantial impact on the listing and operation of listed companies, trading habits and behaviors of investors, and the construction and operation of market products. It will also have no impact on fixed income products, futures option products and Shenzhen Hong Kong stock connect business In my opinion, the impact on the market is limited.

Gao Ruidong, managing director and chief macroeconomist of Everbright Securities, pointed out that on the one hand, the merger will not change the securities code and securities abbreviation, but will only make adaptive adjustments to some business rules, technical systems and listing arrangements, so it will have little impact on market operation and investor trading.

"On the other hand, the difference in average p / E ratio between the two boards is mainly caused by industry factors. The listed enterprises on the main board of Shenzhen stock exchange mainly focus on traditional industries such as food and beverage, real estate and household appliances, while those listed on the small and medium-sized board mainly focus on emerging industries such as electronics, medicine, biology and computer. At present, China's financial market has become increasingly mature, and the market is more and more rational After the merger, the impact on individual stock valuation is relatively limited. " Gao Ruidong further pointed out.

It is worth mentioning that after the establishment of the "new main board of Shenzhen stock market", the approval system will still be implemented for the issuance and listing, and no new listing channels will be added. This means that the current registration system will not be fully spread out, and the overall impact of the merger of the two boards on the market operation is expected to be small.

"The merger of the main board of Shenzhen Stock Exchange and the small and medium-sized board does not mean that the whole market registration system will be implemented soon. There is no inevitable connection between the two. The reform of the stock issuance registration system is a systematic project and should be promoted step by step. The implementation of the stock issuance registration system in the whole market should not be too idealistic or too eager for success. At present, as a whole, the pilot registration system on the science and technology innovation board and the growth enterprise market has withstood the test of the market, but further evaluation is needed, and then the registration system can be steadily promoted in the whole market Dong Dengxin, director of the Institute of financial securities of Wuhan University of science and technology, said.

 

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