Safe and Secure
After four rounds of review and deliberations starting in 2015, the long-awaited revised Securities Law of the People’s Republic of China finally took effect on March 1. It marks a key moment for China on further liberalizing its capital market and improving the market environment to enhance market appeal and better serve the real economy.
The new law stipulates regulations for securities issuance and trading, the takeover of listed companies, information disclosure and protection of investors. The major revisions include expansion of the registration-based initial public offering (IPO) system which streamlines the approval procedures for companies to float shares in mainland stock markets, stricter requirements on information disclosure, and tougher penalties for illegal and unfair market practices. It also outlines rules to improve the delisting system in the securities markets and encourage the development of investment institutions to
