China Galaxy Securities Chief Economist Zhang Jun: The comprehensive reform of capital market investment and financing is not achieved overnight; it requires persistent effort over time.

According to The Shanghai Securities News, this year the government work report proposes to continuously deepen the comprehensive reform of capital market financing and investment. Zhang Jun, chief economist at China Galaxy Securities, said in an interview with a reporter that the comprehensive reform of financing and investment is an important reform task for the capital market during the “15th Five-Year Plan” period. Promoting development through reform, and seizing reform as a key lever, to thereby achieve high-quality development of the capital market. In Zhang Jun’s view, this year’s government work report emphasizes “continuously deepening the comprehensive reform of capital market financing and investment,” and adds the word “continuously,” which reflects policy determination. The comprehensive reform of financing and investment in the capital market is not something that can be done overnight; it requires sustained effort over the long term. He said that the key tasks in the next step mainly include the following: improve the policy framework for “long-term capital for long-term investment,” and enrich products and risk management tools that are suitable for long-term investors; optimize the listing standards for the main board and the ChiNext board, improve the evaluation standards for the innovation (Sci-Tech) attributes of the STAR Market, strengthen disclosure requirements, and improve the stock issuance pricing mechanism for new shares; standardize the criteria for mandatory delisting; improve the quality of listed companies, promote listed companies to carry out market value management in accordance with law and compliance, and strengthen incentive and constraint mechanisms for dividends and share buybacks; strengthen investor protection and education, increase the costs of illegal conduct in the securities industry, and improve the mechanisms for compensatory relief for investors.