The Comparison Between The Stock Market Of Mainland And Hong Kong

With the development of economic the relationship between mainland and Hong Kong, the direct and indirect investment in the two sides is increasing. Studying the stock markets, comprehending the regulation and direction does help to the enterprises'equity finance, meanwhile, it contributes to making correct decision from the viewpoint of investors.The study method of this thesis is the combination of demonstration and norm. It describes the history and actuality of the two stock markets, then finds the reasons, and analyses the institution of stock market by correlative theories of institutional economics.After comparing the two stock markets, we find out that the function of the stock market in mainland has not been fully played, the reason is that it has institution failure. As the informal institution can not be transplanted from one area to another easily, the thesis study the formal institution mainly, which consists of the issue, quit-system and supervision. Base on the analyses and studies in previous chapters, the thesis draws a conclusion and makes some suggestions about the stock market of mainland in the end.