At the State Council press conference, Chairman Wu Qing's speech covered a wide range of topics. First, it emphasized enhancing the inherent stability of the capital market, establishing a clear orientation towards rewarding investors, and improving the quality and investment value of listed companies. This was proposed from a strategic height, highlighting the need to enhance the inherent stability of the capital market by improving the quality of listed companies to enhance the investability of the capital market, striving to balance financing and investment, and attracting more funds from outside the market.
Second, it focused on serving the recovery and improvement of the real economy and the high-quality development of the economy. Concentrating on key areas such as serving new quality productive forces, making good use of various capital market tools such as stocks, bonds, and futures, and taking multiple measures to invigorate the mergers and acquisitions market. At the same time, efforts are being made to work with all parties to unblock the circulation of each link in the "raising, investing, managing, and exiting" of private equity venture capital funds. This lays the foundation for the coordinated development of the primary and secondary markets, highlights the development of new quality productive forces, and enhances the support role of the capital market for the real economy.
Third, it emphasized protecting the legitimate rights and interests of small and medium investors. It is determined to crack down on illegal and irregular behaviors such as financial fraud and market manipulation, and to strive for more exemplary cases in representative litigation and advance compensation. The consistent policy principle of protecting the interests of small and medium investors is conducive to enhancing the sense of gain for investors, thereby better protecting the interests of small and medium investors.
Fourth, it is important to vigorously develop equity-type public funds. It is necessary to supervise fund companies to further correct their business philosophy, adhere to the orientation of investor returns, create more products that meet the needs of the people, and strive to create long-term returns for investors. Under the current market conditions, which are relatively low, the issuance of equity funds is difficult. In the future, by strongly supporting and developing equity funds, more ammunition can be brought to the capital market to promote better performance. Public funds are also important institutional investors and an important channel for investors to invest in the market, which will be vigorously developed in the future.
Fifth, it is necessary to improve the institutional environment for "long money and long investment". The focus is on improving the regulatory tolerance for equity investment by medium and long-term funds and fully implementing a long-term assessment cycle of more than 3 years. This will be beneficial for improving the assessment period of institutional investors such as insurance funds, thereby better investing in the equity market and cultivating long-term and patient capital.
Sixth, it is necessary to continuously improve the capital market ecosystem and create a good market ecosystem where medium and long-term funds "want to come, stay, and develop well". By building the ecosystem of the capital market to attract medium and long-term funds to enter the market.
Seventh, it is necessary to promote the investment of various medium and long-term funds in the stock market, including the Central Huijin Company, and provide a better policy environment. Increasing the strength of institutional investors in the market will improve market stability.
Eighth, improving the quality of listed companies and enhancing investment value requires listed companies to take on their responsibilities. Listed companies are the cornerstone of the development of the capital market. By improving the quality of listed companies, the long-term return rate of the capital market can be improved.
Ninth, listed companies and related parties must not manipulate the market, insider trading, and other illegal and irregular behaviors in the name of market value management. Strict supervision is needed to protect the interests of investors.
Tenth, it is necessary to guide securities companies and other intermediary institutions to give full play to the functions of transaction matching and professional services, and help listed companies implement high-quality mergers and acquisitions. Through mergers and acquisitions along the industry chain and strong alliances in the same industry, the external growth of listed companies can be achieved, the concentration of the industry can be improved, and the development of the industry can be promoted. Chairman Wu Qing's speech at the press conference emphasized the need to improve the capital market functions that coordinate investment and financing, focusing on three highlights.In April of this year, the State Council introduced the "New Nine Articles," and the China Securities Regulatory Commission (CSRC), in conjunction with relevant parties, formulated several supporting documents. Together with the "New Nine Articles," they formed a "1+N" policy and regulatory system. A batch of key measures are also in the process of implementation, and the capital market has achieved preliminary results in strengthening regulation, preventing risks, and promoting high-quality development. First, the market ecosystem has further improved. Second, the basic market system has been accelerated to improve the rules of the system at various stages such as issuance, listing, dividend distribution, reduction, and trading. Third, the market function has maintained its basic role. Fourth, the reform and innovation of the capital market have been firmly promoted, focusing on doing well in the five major financial articles, and better playing the role of mergers and acquisitions, etc.
At present, after more than three years of adjustment, the capital market in China has reached a historical low in many indicators. At today's press conference, Chairman Wu Qing's speech further clarified the direction for the long-term and healthy development of the capital market, which is conducive to enhancing investor confidence. The central bank has completely reversed the market's pessimistic expectations through major policy benefits such as interest rate cuts, reserve requirement ratio reductions, and reductions in existing housing loan interest rates, and by supporting more institutions to invest in the development of the capital market. The Shanghai and Shenzhen markets have seen a significant increase, reversing the market's downturn, activating the market's bullish forces, and are conducive to promoting a significant rebound in the capital market.