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The Shenzhen Stock Exchange (the SZSE) is a mutualized national stock exchange under the China Securities Regulatory Commission (the CSRC) that provides a venue for securities trading. A broad spectrum of market participants, including 540 listed companies, 35 million registered investors and 177 exchange members, create the market. Here buying and selling orders are designed to be matched in a fair, open and orderly market, through an automated system to create the best possible prices based on price-time priority. Trading volumes have been robust.
Since its creation in 1990, the SSE has grown with a market capitalization around 1 trillion yuan (US$122 billion). On a daily basis, around 600,000 deals, valued at US$807 million, trade on the SSE.
China's securities market is undergoing fundamental changes. The implementation of the new securities law, company law, self-innovation strategy as well as the development of non-tradable share reform embodies enormous opportunities to the market. Adhering to the principle of "Regulation, Innovation, Cultivation and Service", the SSE is focused on developing the Small and Medium Enterprises Board, while seeking a loose tier market.[8]
The initial public offering (IPO) activity in Shenzhen stock exchange was suspended from September 2000 as the Chinese government pondered merging its bourses into a single exchange in Shanghai and launched a Nasdaq-style second board in Shenzhen aimed at private and technology companies.
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