Anticipation: 28 years to carry out China's capital market, so we are very excited

May 19, vice chairman of the NPC Financial and Economic Committee of the Twelfth Huang Qifan attended the "2018 Tsinghua Wudaokou Global Financial Forum" and delivered a keynote speech – China's capital market growth。  Huang Qifan said that this year marks the 40th anniversary of China's reform and opening up, after 40 years of development, China has undergone enormous economic and social changes。In this change, the change is a top priority of China's capital market from scratch, from small to large, and today has become the world's second largest capital market。  "28 years of the development of China's capital market reform and opening up so that those of us who are excited。"When Huang Qifan reviewed the development process of China's capital market, said 20 years, under the leadership of the CPC Central Committee, China's capital market forward in the exploration, innovation in the reform, to gain experience in lessons learned in improving management practices, out of a development path in line with China's national conditions and market rules。Every thought of this, we, the people of reform and opening up, could not help but get goosebumps, very excited。  Huang Qifan pointed out that the capital markets have important functions in six areas of modern financial system and promote the healthy development of national economy and achieve optimal allocation of resources, improve the corporate governance and encourage enterprises to implement a modern enterprise system, improve the economic and social development in China。Meanwhile, China's capital market is still a problem in the nine areas need improvement and progress, that is, the total is still small, the exchange is not enough competition, market segmentation, distribution mechanisms and delisting system is not perfect, the overall quality and governance of listed companies to be increase, securities company's comprehensive strength and competitiveness is weak, investors unreasonable structure, development and legal system and legal system construction supervision needs to be strengthened。  The following are surging on news Huang Qifan finishing the speech content: This year is the 40th anniversary of China's reform and opening up, after 40 years of development, China has undergone enormous economic and social changes。In this change, the change is a top priority of China's capital market from scratch, from small to large, and today has become the world's second largest capital market。  China's capital market in the early 1990s, at the initiative and promote the reform and opening up chief architect, Comrade Deng Xiaoping, in December 1990 set up the Shanghai Stock Exchange, the Shenzhen Stock Exchange started the establishment in May 1991。So far 28 years, using trial and error, to explore the pilot, and then regulate the development of (subscription card, Cultural Square for trading hall); the first major breakthroughs, then the overall advancement; enterprise Shares Ownership implementation of the first increment of the stock, the first equity split then the implementation of full circulation; IPO listed first carry out the audit system, and other conditions are ripe to engage in the registration system; the rule of law first and then covered with government regulations on management。  For over 20 years, the face of a nascent primary market, an emerging and transitional markets, facing various objective existence of systemic problems can not all of a sudden elimination of the situation, coupled with the development of a sound and comprehensive legal and there is also a process, can not be achieved to realities, the Chinese government adhere to the principle of seeking truth from facts thoughts, neither engage in foreign dogma, the mature Western market rules copy the photo sets, vendors do not engage in market-style cock; both problem-oriented, practical problem solving policy measures, there are top-level object-oriented design, system support。  Think of the last decade the IPO gate opened and closed several times, often criticized, which contains a number of both management reform, development and stability of rational judgment, as well as respect for the reality of helplessness。China's capital market Despite these ups and downs, still overcome various difficulties and made great progress。  Think of the mature Western markets has been 200 years of history, which has 70 years of ups and downs, chaotic system, these problems we encounter 20 years, difficult, really not a big problem, the problem is the development, growth the difficulties have been resolved and secure。Now, capital market gradually expand the scale, and gradually put in place a legal construction, information disclosure gradually standardized, and gradually improve the regulatory system and international cooperation system gradually broke through。  In short, 20 years of China's capital market adhere to the socialist market-oriented and legal requirements, the open system, international orientation。20 years, under the leadership of the CPC Central Committee, China's capital market in the exploration progress in reform and innovation, gain experience in lessons learned in improving management practices, out of the path of development in line with China's national conditions and the laws of the market。Every thought of this, we, the people of reform and opening up, could not help but get goosebumps, very excited。  Capital markets have important functions in six areas of economic and social development in China。First, greatly promoted the healthy development of national economy。By 2017, China's capital market, the total market value of nearly 50 trillion yuan, the listed company's total turnover of over one hundred trillion yuan, profits of more than three trillion yuan, including debt of listed companies, including the total assets of about 100 trillion yuan in China banbishan component on the river occupies a total economy。Development of capital market not only promote the sustainable economic development, and greatly enhance economic output and firm size。It is no exaggeration to say that the capital market is both the forward momentum of the Chinese economy, but also enterprises to take off。  Second, the optimal allocation of resources, promote economic structure, industrial structure high-quality, cost-effective development, unicorn system capital market, venture capital investment mechanism can greatly promote enterprise technological innovation。To profit-driven characteristics of the capital markets, resource allocation mechanism vote with their feet, which greatly promoted supply-side structural reforms。  Third, improve the corporate governance and encourage enterprises to implement a modern enterprise system。Existing state-owned private enterprises, if they become a listed company, not only by securities firms, accounting firms, law firms discipline, but also by the Exchange, the SFC sector regulation, the concept of a fundamental change in behavior occurs, there is incentive to become constrained the rational behavior corporation will not only enhance shareholder awareness of the concept of corporate governance, and the principle of transparency by the mandatory information management of listed companies Forced form to tell the truth, do not tell lies actors。  Fourth, improve the modern financial system。Traditional financial system refers to the commercial bank-based financial systems, modern financial system refers to the capital market-based financial system, not only has the mechanism of supply and demand of media funding, but also has to achieve optimal allocation of resources, risk diversification and Share the wealth growth mechanism of the three functions。  Well, capital market development, improve the macro-economy of excessive leverage problem, reduce the high proportion of debt financing in the whole society, the savings into investment, debt is converted to equity, but also effectively eliminate the financing of SMEs, private financing irregularities, illegal fund-raising, financial fraud and other issues。  Fifth, the way to get rich so that people increase, the reform and opening up, the fruits of economic development to benefit the people。Capital markets to accelerate the growth of social wealth, particularly financial assets, mainly by Chinese people before the increment to increase household wealth, can now be used to increase the stock of wealth。Experience shows that international capital markets, if from 50 to 100 years time span of view, stocks, real estate, bonds, gold investment income of the highest in four areas first is the stock, real estate is the second, third, bonds, and finally gold。In short, capital market provides a mechanism for the growth of wealth and economic growth matched the establishment of a mechanism for sharing the wealth that everyone can participate。  Sixth, to explore the socialist public ownership to achieve high-quality cost-effective form of。Marx and Engels profoundly pointed out 100 years ago, joint-stock and stock cooperative system is to implement a form of socialist public ownership of listed companies is precisely the most typical of most standard joint-stock company。  Over the past 28 years, the capital markets of the six functions have been gradually reflected in the national economy in the next two to three decades will emerge more deeply。  Of course, China's capital market is still there is much to be progressive, generally summed up in nine areas: First, the total is still small, national economic securitization rate of less than 50%, there is huge room for growth。  Second, the exchange competitive enough, not rich variety and number of transactions, commodity futures and derivatives markets to be developed, Bond Market。  Third, market segmentation, such as A shares, B shares, Hong Kong red chips, H shares, bonds are divided into banks in exchange tickets and bonds, these market segmentation reduces the effectiveness of the capital market。  Fourth issuance mechanism is not perfect, the registration system in place yet。  Fifth delisting system is not perfect, the current overall not only to say, there is no real place。  Sixth, the overall quality and governance of listed companies needs to be improved。  Seventh, the securities company's comprehensive strength, less competitive, mainly by brokerage business support, direct investment, M & A advisory capacity is not high, securities companies industry concentration is too low。In mature markets, the top 10 securities firms generally account for 60% or even 75% of the total traffic in the industry, we are now less than 30%。  Eight is the irrational structure of investors, retail investors, less institutional investors, insurance funds, pension investment in small-scale, PE does not regulate the development, mode of operation, risk management, funding sources, and there are problems in escrow。  Nine is the development of the legal system and legal system construction and supervision needs to be strengthened。  Faced with these problems, we have to accelerate the construction of multi-level capital market system, and actively develop diversified investment and financing tools, great efforts to cultivate a diversified investor base, strengthen the construction of credit capital markets, securities law violations and resolutely combat the futures market, prevention and vigilance regional systemic financial risk for the capital market as an economic development engine, supply-side structural reforms killer mace, industrial upgrading and innovation-driven propeller, people get rich wealth channel work hard。  I believe that by 2050, China into a socialist modern power, China's capital market will become an important symbol of our modern power。  (According to the organizers text Record order, without ranking of speakers)