Comparative Analysis Of Transnational Securities Regulation And Choice Of Law Issues

Through financial globalization, almost all states open their domestic securities market so as to facilitate free capital flow. As a important emerging and transitional country, China encounter with the question of transnational securities regulation after its opening. This thesis makes an inquiry into the experience and practice of US, EU, Korean and IOSCO respectively,streamlining their evolution of regulation mode and the logics of that. The author believes it would be helpful if China wishes to succeed in surviving and thriving on internationalization of Chinese securities market. The dissertation comprises of three parts, with an introduction, five chapters and conclusion.Chapter One observes the phenomena of transnational capital flow and interconnection of securities markets, analyzing its causation and social economic basis. Here it's more complicated to regulate transnational securities than the regulation of transnational banks because now that functional-regulation takes the place of institution-regulation. So all regulation bodies are urgent to share information and cooperate with each other through the mechanism built by the IOSCO framework.Chapter Two reviews the revolution of American federal securities regulation since its securities markets went internationalization in 1980s, SEC's attitude, policy and measures towards it. And then the author draws the light onto EU's efforts to building a single securities market. Directives were released for the aim of integrating, coordinating and harmonizing internal securities regulation, though many obstacles remain. We will see what law can contribute to the process of regional integration. Chapter Three describes US temporary legal framework of transnational securities regulation, encompassing the concept of foreign private issuer, private placement, MJDS, regulation S and rule 144A, especially recently enacted Sarbanes-Oxley Act which strengthens supervision of auditing standard of all listing companies and its impact on foreign enterprises.Chapter Four mainly deals with the conflict of laws aspect of transnational securities trade. Under the prevailing indirect securities holding system, traditional Lex rei sitae is no longer a proper connecting factor which calls for modifying. Extraterritorial application of US Securities Exchange Act (1934) enlightened a lot of debate in and out of America. The author finds out that judiciary supervision plays an indispensable role by case analysis.Chapter Five tells how to optimize China's open strategy with the background of liberalizing capital account of RMB. It carefully researched Chinese QFII, its positive and negative effect since it was founded in 2002, which forms the basis of the legal countermeasures to be considered by CSRC and promotes a market-oriented Chinese transnational regulation, refining our securities law.At end conclusion is made that only consistent with the policy of economic building and opening could the need of benefit and equality be attained. Some proposals are also given for the future decade.