Boots are on the ground, and the "monster stocks" of China stocks appear frequently!Experts: The trend of returning to Hong Kong stocks will not reverse

On August 26, China and the United States reached an audit supervision agreement, and the high -profile China stock audit supervision issues took an important step. On August 31, when the US stock market continued to fall, the three major stock indexes hit a new low for four consecutive days. Yueming?

Blossom?

Chinese stocks "demon stocks" frequently out

On Wednesday, the Eastern Time, China Stock Yingxi Group successfully switched to Nasdaq. The stock price soared by 8653.87%on the first day of listing, with a total market value of more than 17.1 billion US dollars. The successful listing of the Nasdaq Main Board of Yingxi Group is the sixth Chinese stocks in the United States after Meihua International Medical, Austin Technology, Golden Sun Education, Haowei Technology, and Xingfa Lock Industry. company.

Public information shows that Yingxi Group is headquartered in Shenzhen. It was established in 2014. It is a comprehensive service provider focusing on clothing manufacturing, logistics services, property management and rental and epidemic prevention products. In 2016, Yingxi Group landed in the US capital market and officially launched a trading market (OTCQB section) on the field. This time, it was transferred to Nasdaq's motherboard IPO.

The financial report shows that Yingxi Group's revenue in fiscal year in 2021 was $ 12.69 million, and the revenue of fiscal 2020 was US $ 24.7348 million, a significant decrease of 48.7%year -on -year.

Recently, the "Chinese stocks" demon stocks have come out frequently. Since its listing on the New York Stock Exchange on July 15th, the stock price has soared 250 times in less than a month. By August 2, the market value exceeded 310 billion U.S. dollars. Financing has skyrocketed by more than 50 times during the listing on August 5th and closed up by more than 20 times. It once soared 3100%.

It is worth noting that the above stocks have been down all the way. As of the closing of yesterday (August 31), the cumulative increase has narrowed to less than 620%since the listing of the Ministry of Science and Technology, and the market value is less than 26 billion U.S. dollars. The decline of more than 90%, the market value of more than 150 million US dollars; the stock price of Zhizhi Education plummeted for three consecutive days, and the latest stock price was reported at $ 5.97. From this point of view, although the stock price of Yingxi Group soared on the first day, from the recent performance of several "demon stocks", this rise may also be a short -lived.

Out of China Stocks:

Boots to the ground, passive delisting decompression

On August 26, the issue of audit supervision of China stock markets took an important step. The Securities Regulatory Commission, the Ministry of Finance and the U.S. Public Corporation's Accounting Supervision Committee (PCAOB) signed an audit supervision cooperation agreement, and will start related cooperation in the near future.

The Sino -US audit supervision cooperation agreement signed this time is based on the memorandum of understanding of law enforcement cooperation in 2013 and the memorandum of pilot inspection cooperation in 2016, according to the domestic laws and regulations and regulatory requirements of both parties, referring to the relevant international practices, and summarize the previous cooperation between the two parties in the past. Experience, reached repeatedly. The cooperation agreement mainly made specific arrangements for the daily inspections and law enforcement investigations on the cooperation of relevant accounting firms in both parties, and agreed that the purpose of cooperation, scope of cooperation, cooperation form, information use, and specific data protection.

People from the my country Securities Regulatory Commission pointed out that with in recent years, information security related laws and regulations such as data security law and personal information protection law have been implemented one after another. The information security responsibilities of relevant market entities have become more clear, and there are more chapters in operation. No matter where the enterprise is listed, it is obliged to abide by the laws and regulations of domestic information security. The improvement of these regulations also provides a good legal basis for how these companies have handled the sensitive information in the draft, and they also clarify their main responsibilities.

The signing of the Sino -US audit supervision and cooperation agreement basically resolved a ten -year dispute between China and the United States in terms of audit issues in China.

Xue Hongyan, deputy dean of the Star Financial Research Institute, said in an interview with the media: "The signing of the audit supervision agreement between the two parties means that the regulatory issues of China and the United States have initially reached an agreement on the key terms. The risk of Chinese stocks from densely delisted in the US stock market has been lifted. "

For the US stock market:

Release the positive signal, exceeding 280 Chinese stocks benefit

Since this year, 13 Chinese -funded companies have been listed in the United States. As of now, there are more than 280 Chinese stocks listed in the United States. The signing of the Sino -US audit supervision and cooperation agreement has benefited these Chinese stocks directly.

At present, more than 200 Chinese companies are listed in the US capital market, and more than 30 accounting firms in China have registered in PCAOB to provide audit services for Chinese companies listed in the United States. In order to fulfill the audit supervision of the above office, PCAOB needs to establish a cooperative relationship with the Chinese regulatory authorities and implement cross -border supervision and cooperation. Similarly, if a Chinese regulatory agency needs to implement audit supervision on the US accounting firm within its scope of supervision, it shall also be carried out through the supervision and cooperation mechanism. The reservation of Chinese stocks in the United States is beneficial to investors, beneficial to listed companies, and beneficial to both China and the United States. It is a win -win institutional arrangement.

Peng Wensheng, chief economist of CICC, said that China and the United States have promoted cooperation in cross -border audit supervision, whether it is for investors or listed companies. It not only forms a foundation for the next cooperation, but also shows that China and the United States are willing and can cooperate in some areas of common interests, release a positive signal beyond the capital market. To Hong Kong stock market:

The return trend of Chinese stocks will not be reversed

Although most of the stocks are expected to retain the listing status and avoid the risk of being forced to delist collectively, there are still some Chinese stocks that need to seek another way.

Whether or not in the U.S. delisting or not, choosing to go public in Hong Kong will be the main choice of scholarship in China stocks. At present, 26 companies have returned to Hong Kong stocks through the second listing or double listed (17 of them are listed in the second time, and 9 are the main listings). In the case of large variables in the external environment, more eligible China stock companies are expected to return to Hong Kong stocks.

Xue Hongyan also said that although China and the United States have reached a preliminary cooperation, from the perspective of avoiding risks, the trend of returning to Hong Kong stocks by China stocks is expected to not reverse, and subsequent domestic companies will still prefer the Hong Kong stock market for IPO listing. Including state -owned China -owned Chinese -owned stock companies that have been announced in the early stage.

Judging from the influence, Xue Hongyan said: "With the return of high -quality Chinese stocks, Hong Kong stocks will gradually carry the task of high -quality Chinese companies attracting global capital. In this sense, the Hong Kong stock market is ushered in a better opportunity window. "

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