The revised rules of the Securities and Futures Commission strictly manage the "fake foreign capital" to further improve the Shanghai -Shenzhen -Hong Kong -connected mechanism

25JUN

Wen | Wu Xiaolu

On June 24, the CSRC issued the "Decision on Modifying Several Provisions on the Connection of the Mainland and the Hong Kong Stock Market Transaction Connection". The CSRC stated that since the opening of the Shanghai -Shenzhen -Hong Kong -General mechanism, the overall operation has been stable, and it has played a positive role in expanding the two -way opening of the capital market, introducing long -term overseas funds, and increasing the overseas investment channels of mainland residents. In order to further improve the Shanghai -Shenzhen -Hong Kong -Hong Kong -connected mechanism, the CSRC amended the "Several Provisions of the Interconnection Mechanism of the Mainland and Hong Kong Stock Market Transactions" (referred to as the "Regulations"). According to the CSRC, in recent years, some mainland investors have opened securities accounts and trading permissions in the north in Hong Kong, and traded A shares through Shanghai -Shenzhen stocks. At present, the overall scale of such transactions is not large, and the proportion of transactions in the north -directional transaction remains about 1%. There are about 1.7 million investors, but most of them have no actual transactions. In the past three years, about 39,000 mainland investors with north -direction trading. Such securities activities do not match the original intention of the introduction of foreign investment in Shanghai and Shenzhen, and most of these investors have opened mainland securities accounts to directly participate in A -share transactions. Two ways of transactions have the risk of cross -border violations. The market has caused the impression of many so -called "fake foreign capital" in the northern direction trading, which is not conducive to the smooth operation and long -term development of Shanghai and Shenzhen. In order to coordinate financial openness and security, strengthen supervision of cross -border securities activities in accordance with the law, protect the legitimate rights and interests of mainland investors, stabilize market expectations, and maintain the smooth operation of Shanghai and Shenzhen, and the Securities Regulatory Commission decided to revise the "Regulations" and regulate mainland investors' return transactions Behavioral supervision of the so -called "fake foreign capital". Specifically, the revision of Article 13, paragraph 1 of the "Regulations" this time, is the rights and interests of shares bought by investors in accordance with the law through the mainland and Hong Kong stock market transaction interoperability mechanism. It does not include mainland investors. "The Shanghai -Shenzhen -Hong Kong Stock Connect business implementation measures simultaneously revised by the Shanghai and Shenzhen Stock Exchange further clarified the specific scope of mainland investors. The legal person and illegal organization registered in Mainland China does not include Chinese citizens who have obtained a document for permanent residence identity documents abroad. "In order to smoothly promote the standardized work and protect the legitimate rights and interests of existing investors, the Securities Regulatory Commission has made a transitional arrangement. From the date of the implementation of the rules, Hong Kong brokers may no longer open a new Shanghai -Shenzhen stock transaction permissions for mainland investors. The date of implementation of the policy is the transition period. During the transition period, the existing mainland investors can continue to buy and sell A shares through the CSI Stock Connect. After the transition period is over, the existing investors will no longer actively buy A shares through the Shanghai -Shenzhen Stock Connect, and the A shares hold can continue to be sold; the transaction authority of non -holding mainland investors will be canceled in time by Hong Kong brokers. From December 17, 2021 to January 16, 2022, the Securities and Futures Commission amended the "Regulations" to publicly solicit opinions from the society. During the solicitation, a total of 8 relevant comments were received. The provided opinions are mainly focused on further clarifying the operation level of the scope of the mainland investors. In the next step, the CSRC will unswervingly promote the high level of openness in the capital market, continue to improve the Shanghai -Shenzhen -Hong Kong -connected mechanism, facilitate overseas investors to invest in the A -share market, deepen cross -border regulatory law enforcement collaboration, and effectively maintain Shanghai, Shenzhen, Hong Kong, and Hong Kong The stable operation and healthy development of the ground market.

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Photo ｜ Site Cool Hero Bao Map Network Production | Zhou Wenrui

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