Shenzhen Stock Exchange (SZSE) has recently revised and promulgated the Guidelines on Listed Company Standard Operation governing three boards based on the opinions extensively solicited from listed companies.
As introduced by an officer of SZSE, the amendments this time focus on the implementation of new rules and optimization of the supervision mechanism centered by information disclosure.
Since 2010, the Company Law and the Securities Law have been revised in succession, loosening regulations of registered capital and tender offers of listed companies; the State Council’s opinions on strengthening the protection of medium and small investors’ legitimate rights and interests and promoting the healthy development of capital market have been released; rules governing acquisition and restructuring of listed companies have been amended and delisting guidance and several listed company regulatory guidelines have been formulated by CSRC. During the rules revision, SZSE has adopted the latest supervisory requirements in the aforesaid laws and regulations, so as to promote the rule-based market governance and supervision. Besides, SZSE has also adhered to the supervisory concept which takes information disclosure as the center throughout the revision and greatly reduced ex ante examinations based on the thoroughly review of original supervisory requirements, in a bid to encourage self-governance of companies and propel market players to bear their due responsibilities.
According to the officer, the revision was carried out following the principles of transparent and democratic rule-making. SZSE issued drafts for comments in the Special Business Zone for Listed Companies to solicit opinions from all listed companies of three boards, and made further optimization by absorbing advices received from activities such as Listed Companies’ Open House Program for Investors.
In addition, SZSE launched the tenth cleanup of rules in order to build up a simple and efficient system of business rules. It released the 6th List of Abolished Rules, repealing 39 rules. The remaining 125 valid rules after the cleanup are covering different market players and business types in the multi-level system of business rules. For the next step, SZSE will continue to improve the long-term mechanism for the dynamic cleanup of business rules, laying a rule foundation for self-discipline.