Q: We have noticed that on November 6, the China Securities Regulatory Commission issued the "Guiding Opinions on Improving the System of Suspension and Resumption of Stocks of Listed Companies". Can you introduce the implementation of the suspension and resumption of trading system in recent years and the next work arrangement?
A: Promoting the standardized governance and quality improvement of listed companies is an important task for the long-term healthy development of the capital market. Stock suspension and resumption of the relationship between the investor's right to know and the right to trade is an important basic system of the capital market. In recent years, with the active efforts of all parties in the society, the problems of free suspension of trading, long-term suspension of trading, and insufficient disclosure of information have been improved. More attention has been paid to and respect for investors’ trading rights, implementation of phased information disclosure requirements, and active reduction of suspensions. , shorten the suspension time. Starting from the institutional orientation of balancing the protection of investors' right to know and trading rights, the Shanghai and Shenzhen Stock Exchanges strictly regulated the suspension and resumption of stocks in accordance with the law, effectively safeguarded market liquidity, maintained market trading order, and achieved positive results. As of November 5, the number of suspensions in the Shanghai and Shenzhen stock markets was 61, and the suspension rate was 1.7%. It is now a period of less suspension.
In the next step, the CSRC will conscientiously implement the decision-making arrangements of the Party Central Committee and the State Council on deepening the reform of the capital market, and guide the Shanghai and Shenzhen Stock Exchanges to do a good job in stock suspension and trading in accordance with the "Guiding Opinions on Improving the Stock Trading System of Listed Companies". Self-discipline management and services, further optimize transaction supervision, maintain market transaction order, protect the legitimate rights and interests of investors, and promote the long-term healthy development of the capital market.
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(Article source: SFC website)