Study On Implementing Mixed Trading System Of Shenzhen GEM

The trading system that GEM of many countries adopts is divided into two kinds: One kind is a market-making system, another kind is ask-bid system. Research indicates that these two kinds of trading systems do not set each other against while solving the trade of the stock, but the one that supplement each other. Which kind of trading system should be adopted of Shenzhen GEM, single asd-bid system or single market-making system, or implementing mixed trading system? A lot of scholars have had deep research to this problem, the view differs. I, through reading a large number of Chinese and foreign documents and analyzing the national conditions of China, think the market of Shenzhen GEM of our country should implement mixed trading system. But on solving how implementing the mixed trading system, few scholar discussing, my thesis is just setting about from here to settle how implementing mixed trading system. It is also the main innovation of this thesis. This thesis stems from National Science Fund Project of China "creating life and DSS of second board market (79970102)"and the tenth Five-year Plan Fund of Ministry of Education "Study on implementing market-making system of our country GEM (01JA630058) ". This thesis includes six chapters, separately explains research theoretical foundation, compare of two kinds of trading system, the necessity of implementing mixed trading system of Shenzhen GEM, the feasibility of implementing mixed trading system of Shenzhen GEM, the model analysis of implementing mixed trading system of Shenzhen GEM and the main conclusion of this thesis. Have mainly introduced the basic content of the microcosmic structure theory of security market and the basis of designing trading system in the research theoretical foundation of this text, this is a theoretical foundation of this thesis. While comparing the two kinds of trading systems, I have analyzed ask-bid system and market-making system in detail. I have analyzed continuous ask-bid and collective ask-bid in ask-bid system, analyzed ask-bid system of main GEM of domestic and international. In the market-making system, I have described the origin of the market-making system, competitive market-maker and monopoly market-maker, the advantage and disadvantage of market-making system, market-making system of main GEM of domestic and international in detail. I have narrated NASDAQ market in detail in this section which is regarded as founder of the market-making system. While discussing the necessity of implementing mixed trading system of Shenzhen GEM, there is no model of implementing the market-making system on the security market of our country, so discussing the function of the market-making system support to Shenzhen GEM at the beginning, so as to prove the great meaning of the market-making system to Shenzhen GEM. Then I analyzed the complementarity of the two kinds of trading system with theory knowledge, which shows that only implementing the two kinds of trading system at the same time can meet market's demands better. In order to better prove the necessity of implementing mixed trading system of Shenzhen GEM, I have collected materials of 25 main GEMs in the world, and have analyzed their trading system comparatively. The analysis result shows that mixed trading system is the trend of GEM market. I have analyzed the feasible mode of implementing mixed trading system of Shenzhen GEM at the end of this chapter. The first kind is implementing two kinds of trading systems at the same time on the individual stock, the second kind is implementing different trading systems on different stocks. While discussing the feasibility of implementing mixed trading system of Shenzhen GEM, I have analyzed the obstacle when implementing mixed trading system in section one: lack of the subject of market-makers, shortage of relevant law and uncompleted supervision of market-maker; and I have put forward the corresponding countermeasure to these questions. I have analyzed the favorable experience that the domestic and international GEMs offer for Shenzhen GEM in section two. I have analyzed the advantages of implementing mixed tradingsystem of Shenzhen GEM according to the national conditions in section three. I have two novel opinions in this chapter: Firstly, while introducing the market-making system, because the shortage of market-maker, I have published "the market-maker, begin from the dealer of securities "in "commercial research "; Secondly, while analyzing the support of the country to capital market, I have especially analyzed "several suggestions about advancing the reform and opening-up and developed steadily of capital market", relevant thesis "meet infinite hope spring of the capital market "has been published in "financial research of Jilin ". While analyzing the model of implementing mixed trading system of Shenzhen GEM, what I wants to explain is because Shenzhen GEM of our country has not been established yet, while analyzing with real example, can only use the main board market which developed for more than ten years to predict the future Shenzhen GEM. This prediction is reasonable, because the future GEM market and the main board market have the same economy and social environment, the data for real example all come from the main board market. Especially the real example of the small and medium-sized enterprises board is the most convincing, because the small and medium-sized enterprises board is a transition of Shenzhen GEM in the future. I have introduced this concept of p/e ratio on the model design of implementing mixed trading system, and has done deeply studying to the theory knowledge of the p/e ratio. Because the p/e ratio plays a very important role when investors choose the stock, the theoretical research indicates that if investors have better expectancy to a certain company's future achievement, then its stock price will reflect this expectancy, its p/e ratio should be relatively high too. On the contrary, if typical investors of the stock market have bad expectancy to a certain company's future achievement, then the p/e ratio will reflect this information too certainly. On the same security market, in a situation that the risk level has no difference, high-profit enterprise stocks can have relative higher price (namely p/e ratio). At the same time the liquidity of the...