This newspaper (chinatimesnet.CN) reporters Geng Qian and Hu Jinhua report from Shanghai.
On February 6, the China Securities Regulatory Commission (CSRC) said in response to reporters' questions on the "two financing" securities lending business that it proposed three measures to further strengthen supervision and control of the securities lending business. It is pointed out that the scale of new refinancing securities will be suspended, with the balance of existing refinancing securities as the upper limit, and the scale of new refinancing securities of ** companies will be suspended in accordance with the law, and the stock will be gradually closed.
Subsequently, a number of leading public offerings quickly suspended the scale of new refinancing** lending. On the same day, 11 public offerings, including E Fund**, Huaxia**, GF**, Fuguo**, Nanfang**, Cathay Pacific**, China Merchants**, Huatai Berry**, Huabao**, Tianhong**, and Harvest**, issued announcements saying that they would strictly implement the relevant requirements of the China Securities Regulatory Commission on securities lending business, suspend the new refinancing** lending scale, and prudently and steadily promote the gradual completion of the existing refinancing** lending scale to ensure the smooth operation of related businesses.
Chen Xingwen, chief investment officer of Blacksaki Capital, told the China Times that the release of the policy means that the refinancing business will be suspended, and the ** that has been refinanced will be gradually returned and no new ones will be added. After the policy was issued, the company "got together" to suspend the lending of new refinancing, which was similar to the publication of a bullish "letter of investment", which was a good thing for the A** field.
11 leading public offerings have suspended the scale of new refinancing** lending
On February 6, the spokesperson of the China Securities Regulatory Commission answered reporters' questions on the relevant situation of the "two financing" securities lending business. When asked what arrangements the CSRC has made to further strengthen the supervision of securities lending and borrowing business in the near future, the CSRC proposed three measures to further strengthen supervision. The first is to suspend the scale of new refinancing bonds, with the balance of existing refinancing securities as the upper limit, and suspend the scale of new refinancing securities of ** companies in accordance with the law, and gradually close the stock; The second is to require the company to strengthen the management of customer trading behavior, and strictly prohibit the provision of securities lending to investors who use securities lending to implement intraday rotation trading (disguised T+0 trading); Third, we will continue to strengthen supervision and law enforcement, and we will crack down on illegal activities such as improper arbitrage through the use of securities lending and borrowing transactions in accordance with the law to ensure the smooth operation of securities lending and borrowing business.
After the policy was introduced, the public offering ** responded positively. On the afternoon of the same day, 11 public offerings**, including E Fund**, Huaxia**, GF**, Fuguo**, Nanfang**, Cathay**, China Merchants**, Huatai Berry**, Huabao**, Tianhong**, and Harvest**, issued announcements one after another, suspending the scale of new refinancing** loans.
Huabao announced on its official website that it will strictly implement the relevant requirements of the China Securities Regulatory Commission on securities lending business, suspend the new refinancing lending scale, and prudently and steadily promote the gradual completion of the existing refinancing lending scale to ensure the smooth operation of related businesses.
Zhang Yue, chairman of Aoyu International, pointed out in an interview with a reporter from the China Times that the collective suspension of new refinancing loans by 11 leading public offerings not only releases a signal that the company actively abides by regulatory policies and standardizes business operations, but also reflects the company's cautious attitude towards market risks.
For the above-mentioned refinancing business, Sui Dong, a researcher at Paipai.com Wealth, analyzed to the reporter of the "China Times" that this refers to the business activities of ** financial companies that lend their own or lawfully raised funds to ** companies for their margin financing and securities lending business. Among them, the refinancing business includes two parts of business: refinancing and refinancing securities, refinancing is to lend the funds raised in accordance with the law to the company, and refinancing securities are to lend the self-owned or lawfully raised funds to the company.
In fact, from the perspective of the discovery mechanism, the refinancing business is beneficial to both investors and lenders of margin trading. For financiers and securities borrowers, the emergence of this type of business has increased the trading volume of funds and ** in the market. Theoretically speaking, the refinancing business can increase the activity in the market, strengthen the trading situation, and further strengthen the issuance mechanism in the market. Huang Dazhi, a researcher at the Xingtu Financial Research Institute, told the China Times.
The company's participation in the refinancing lending business refers to the fact that the company lends the company held in accordance with the law to the company, and the company provides margin financing and securities lending services for investors. In this process, the company charges a fixed rate. Huang Dazhi further pointed out that according to the regulations, not all ** can participate in the refinancing business, especially the lending business of securities lending. Only specific products such as index** and closed** can participate in the lending business of securities lending.
Limited impact on the market
In fact, the China Securities Regulatory Commission (CSRC) has recently taken a series of measures to strengthen supervision of securities lending and borrowing business in light of market conditions.
On January 28, 2024, the Shanghai ** Stock Exchange and the Shenzhen ** Stock Exchange issued the "Notice on Suspending Strategic Investors' Lending and Allotment within the Promised Holding Period", which pointed out that from January 29, 2024, strategic investors will be suspended from lending and allocating ** within the promised holding period, and the outstanding lending contracts shall not be extended upon expiration. So far, only the unrestricted tradable shares held by institutional investors can be lent by refinancing securities.
In October 2023, the China Securities Regulatory Commission (CSRC) cancelled the lending of senior executives and core employees of listed companies through special asset management plans established through strategic placements, and restricted the lending methods and proportions of other strategic investors in the early stage of listing.
The China Securities Regulatory Commission said that since the implementation of the relevant system, the balance of securities lending and borrowing has dropped by 24%, and has now fallen to 63.7 billion yuan, accounting for 01%。
In Huang Dazhi's view, the CSRC's announcement of the suspension of the scale of new refinancing securities has a limited impact on the market. "In fact, the number of people who are eligible to participate in the refinancing lending business is very small, and the number of people who actually participate in the securities lending business is even smaller. Therefore, the impact of this policy on both marginal pricing in the market and the proportion of total volume is negligible. But at this juncture, it can indeed play a certain role in boosting investor sentiment. ”
This time, the China Securities Regulatory Commission issued a document stating that it would suspend the scale of new refinancing bonds, with the balance of existing refinancing securities as the upper limit, and suspend the scale of new ** company refinancing securities in accordance with the law, and the stock will be gradually closed. It means that the refinancing business is suspended, and the ** that has been refinanced will be gradually returned and no new ones will be added. After the policy was issued, the company issued a suspension of new refinancing loans, which was similar to the issuance of a bullish "investment statement", which was a good thing for the A** field. Chen Xing** tuned.
Sui Dong pointed out that the recent positive continues, and the current market has a strong foundation. On February 6, the China Securities Regulatory Commission (CSRC) issued a number of policies to protect the market and stabilize market confidence, such as cracking down on malicious short-selling, regulating short-selling and other favorable policies. At the same time, the national team has recently begun to increase its efforts, and continued to increase its efforts yesterday, injecting liquidity into the market. At present, the market level and valuation level are at a low level, which also provides fundamental support for the current **. Judging from the current intensive release of policy signals, the intention of policy support is very obvious, so the short-term bottom of the market may have been proven, and the future may show a trend of bottoming out and then bottoming. In terms of direction, you can pay attention to the direction of performance expectations, including some new energy, computing power and other scientific and technological directions, and prudent investors can adopt a combination strategy of growth + high dividends.
Furong told the "China Times" reporter that the current A** field is still at the bottom of the ** range. The annual report forecast of listed companies has been intensively disclosed recently, and the performance of the technology sector has been implemented in stages. The macro fundamentals and the performance of listed companies as a whole are at the bottom stage. Last week, the financing balance decreased by 71.4 billion, which is close to the value at the end of April 2022. It is recommended that investors remain rational and fearful of the market, and after the pessimism is vented, the medium-term bottom range may appear. In the short term, it is recommended to pay attention to companies whose annual report performance exceeds expectations, and the sector is moderately balanced, waiting for the emergence of marginal changes that can determine the direction of the market.
Huang Dazhi believes that the current valuation of A-shares has been at an all-time low. From an investment perspective, low valuations give investors a high margin of safety, and the market already has a very high long-term allocation value. In the long run, the rise and fall of ** is determined by fundamentals. The PMI just released in January indicates to a certain extent that the economic fundamentals will continue to pick up in the future, which is actually a very important force driving the continuous upward movement of A-shares. Therefore, when the current market is in an over-falling state, it is actually a good time for investors to participate in investment. However, in the case of such market volatility, it is not recommended that investors blindly **, even through leverage**, investors can participate in the investment of the market in batches** or regular investment.
Editor-in-charge: Xu Yunqian Editor-in-chief: Gong Peijia.