What is the GEM registration system? What is the GEM registration system?

On June 12, 2020, the China Securities Regulatory Commission (CSRC) issued the relevant institutional rules for the reform of the Growth Enterprise Market (GEM) and the pilot registration-based system, and the Shenzhen Stock Exchange will begin to accept IPO applications from enterprises under review on the GEM from June 15. With the listing of the first new GEM new stock, the GEM trading system will also undergo drastic changes, such as the price limit limit will be expanded to 20%, there will be no rise and fall in the first 5 trading days of listing, suspension, ST, delisting, etc.

Yes. The reform of the registration-based system of the Growth Enterprise Market (GEM) is the direction of China's capital market reform, and the institutional design of the reform must fully consider the environment and conditions of the Chinese market. The authorization decision made by the National People's Congress provides a legal basis for the technical preparations for the reform of the registration-based system on the GEM.

On June 12, 2020, the China Securities Regulatory Commission (CSRC) promulgated the Administrative Measures for the Registration of Initial Public Offerings on the Growth Enterprise Market (Trial), the Administrative Measures for the Registration of Initial Public Offerings on the Growth Enterprise Market (Trial), the Measures for the Continuous Supervision of Listed Companies on the Growth Enterprise Market (Trial) and the Administrative Measures for the Sponsorship Business of Issuance and Listing, which came into force on the date of promulgation. At the same time, the China Securities Regulatory Commission, the Shenzhen Stock Exchange, China Clearing, and the ** Industry Association have issued relevant supporting rules.

Big news! **To change the sky! The GEM registration system is coming! This is undoubtedly a cross-era change There was once a big man who said that the day when the registration system was opened was the beginning of China's first long bull. So what is the registration system?

What does the GEM registration system mean?

The GEM registration system refers to the change of the GEM from the original approval system to the registration system, that is, the listed companies are reviewed by the ** exchange, and the CSRC will register them after the review is passed.

At present, the science and technology innovation board of the A** field has implemented a registration system, which has greatly lowered the threshold for enterprises to go public, expanded the scope of listing, and improved the efficiency of review. Therefore, after the implementation of the registration system, the GEM will move closer to the science and technology innovation board in terms of system, which is also the direction of capital market reform.

For example, supporting red-chip enterprises and enterprises with special equity structures to be listed on the GEM, supporting unprofitable enterprises to be listed on the GEM, abolishing the price-earnings ratio ceiling of IPOs, and leaving it entirely to the market to price.

The GEM registration system, on the contrary, the activity of the main board will increase, because the investment market with free capital as the main body is more adapted to the 10% rise and fall limit, and the 20% of the GEM is difficult to adapt to the free capital, and the main board will be more active in the future.

What does the GEM registration system mean?

Big news! **To change the sky! The GEM registration system is coming! This is undoubtedly a cross-era change There was once a big man who said that the day when the registration system was opened was the beginning of China's first long bull. So what is the registration system?

The core of the registration system is that the materials provided by the issuer are not false, misleading or omitted. Applying for an IPO is the process of an enterprise issuing additional shares to investors through the first public offering of the Exchange in order to raise funds for the development of the enterprise.

Thirty years to the registration system. It's not easy.

The GEM registration system was officially implemented on August 24, 2020, that is, three days later. The relevant regulations on the participation of SZSE investors in after-hours pricing transactions on ChiNext will not be implemented for the time being, and the specific implementation time and business arrangements will be notified by the Shenzhen Stock Exchange. Compared with the previous review system, it is more in line with the law and status quo of China's economic development.

The main changes in the trading rules:1Relaxation of price limits and price limits; 2.optimize the margin trading mechanism; 3.Implement after-hours pricing transactions.

Hope it solves your problem.

Is the GEM registration-based reform good or bad?

Hehe......It was not before, it was an audit system, but recently the regulators have issued documents, to follow the example of the science and technology innovation board, so the current gem will gradually implement the registration system, and the limit on the rise and fall will gradually be relaxed to 20%, so the market will gradually become market-oriented in the future, so the float will be relatively large, and there will be more and more delisting, so there is a need to be cautious about risky investment, hehe, I believe that the country will get better and better, come on.

Before creating a model, it was an audit system. It is the same as the main board and the second board market. However, a document recently issued is that the GEM will implement a registration system. Then the GEM may be a registration-based system in the future, which should be different from the main board market.

The new GEM regulations stipulate that GEM listings implement a registration system, and the delisting system also cancels the suspension of listing, the resumption of listing, and the delisting of trading delistings no longer sets up a delisting consolidation period.

Trading rules: 1. The limit on the rise and fall is relaxed from 10% to 20%;

2. There is no limit on the price of the new stock for 5 trading days before listing;

3. Optimize the intraday suspension mechanism, set up two suspension indicators of up and down, and suspend trading for 10 minutes each;

4. Investors are allowed to buy and sell at **price after the auction transaction**. Millefeuille gold** allocation.

01 The GEM registration system means that companies to be listed only need to go through simple filing procedures before they can be listed, which is different from the previous approval system, and the listing conditions will be more relaxed and simple.

After meeting the index requirements, entrepreneurs only need to go through simple filing procedures to be listed on the CSRC. It's similar to going to so-and-so ** to register now.

The GEM is currently implementing an approval system, that is, if you meet the target and submit materials, the CSRC will decide whether you can be listed after considering the materials you provide. Compared with the GEM registration-based listing conditions, the listing conditions will be more relaxed and simpler.

The implementation of the registration system is an inevitable trend, and the main board market will also implement the registration system in the future, which will be determined by the market. But this is only the first step, and there is still a long way to go. At present, the current system is not perfect enough, the company is uneven, and the approval system is frequently thunderous, and the registration system is even more difficult to say.

All in all, it's good news. It shows that China is progressing.

The reformed GEM will be further upgraded, mainly serving growth-oriented innovative and entrepreneurial enterprises, supporting model innovation, service innovation, and business innovation, and supporting the deep integration of traditional industries with new models, new formats, and new applications.

From the perspective of issuance and listing conditions, the GEM reform has formulated more inclusive issuance conditions for more inclusive of the new law. It is worth noting that the GEM reform plan clarifies that refinancing and initial public offerings will be subject to a registration-based system at the same time, and the procedures are basically the same. If the merger and reorganization of a GEM listed company involves the issuance of ** or convertible corporate bonds, the registration system shall be implemented.

The reform plan also formulates a series of specific rules in areas such as continuous disclosure, corporate governance, equity incentives, and shares, while re-emphasizing the responsibilities of issuers and intermediaries, and simplifying delisting procedures.

The journey of profound reform of China's capital market has once again ushered in a critical juncture. Against the backdrop of huge risks and challenges brought to the global financial market by the new crown pneumonia epidemic, China's capital market has sailed against the wind and bravely entered the "deep water area" of reform. It is believed that with the advent of the GEM registration system, the future of China's capital market will be better and will bring more opportunities to investors.

We all know that there is no special threshold requirement for opening the GEM trading authority before Heng Hao, but after submitting the opening application, more than two years of trading experience will take effect after two trading days, and less than two years will take effect after five trading days. So how is the capital threshold of 100,000 yuan on the GEM and the threshold of two years of trading experience determined? 1. The capital threshold of 100,000 yuan The average daily assets in the ** account and capital account are not less than RMB 100,000 in the first 20 trading days before the opening of the application authority, and there are two points to pay attention to here, one is 20 trading days, and the trading day is simply the day when China can trade, Saturdays, Sundays, and statutory holidays are generally not counted, and the second is the average daily assets, that is to say, if you apply to put 2 million before the opening of the account, it is also to meet the conditions of the average daily 100,000. It's just that it's not recommended to open the authority and take it out after putting it in, and the brokerage will monitor the account with abnormal fluctuations in large assets.

These assets do not include the funds incorporated into margin trading and securities lending, the available funds in the account, including A shares, B shares, preferred shares, Hong Kong stocks listed through the Hong Kong Stock Connect and the stock transfer system; Depositary receipts; Public Offering ** Shares; Bond; Asset-backed**; share of asset management plan; **Option contracts, in which the right position contract is calculated to increase assets according to the settlement price, and the obligation position contract is calculated and minus assets according to the settlement price; repurchase assets, including bond-pledged repurchase, reverse repurchase, pledged ** repurchase; Public offering, private shares, bank wealth management products, assets, over-the-counter derivatives assets, etc. are all calculated, and each account is calculated independently, that is, if you have two accounts, you need these two accounts to independently meet the asset conditions before you can open the GEM authority respectively. 2. Two years of trading experience This two-year trading experience refers to participating in ** trading for more than 24 months, which is calculated from the date of the first ** transaction on the account under the investor's name in Shanghai or Shenzhen** exchange, and the data of the first transaction query in the medium shall prevail, so this trading experience can be calculated in total. But keep in mind that it is **trading experience, and buying ** in **account is not counted as guessing.

Mainly if you are a qualified investor, you can apply for the opening of the GEM registration-based trading authority, and it will take effect in a timely manner, and you can conduct GEM trading. Basically, all brokers can be opened through their respective mobile trading clients and computer trading clients.