Study On Security Market Manipulation Law And Regulation In China

After decades of ups and downs, Chinese security market has developed step by step, playing the role of fund-raising, investment and allocation of resources to some degree. However, still in the starting phase of security market, short of comprehensive regulation and strict supervision, various sorts of illegal conduct appear, among which in particular the manipulation of security market has posed huge hazard to the development of security market.Manipulation of security market is kind of security fraud behavior through which, by using their capital or information advantages to influence security market price, manipulators induce investors to take part in security trade, thus gain illegal benefits or transfer their financial risk to other investors. Manipulators gain financial benefits by deliberately manipulating the security market price, distorting its real price and talking masses of investors into investing in security trade. It poses uncountable damage to investors, harming their interests, disturbing order of security market and striking regular market trade price system badly. If our government takes effective action to regulate it on the moment, the consequence would be catastrophic. In order to secure the sound and smooth running of security market and build up investors' confidence, Chinese authorities have to take compelling preventive measures to manage and regulate security market manipulation. Thereby this passage studies on manipulation of security market and its law and regulation.Adopting comparative and analytic approach, logic and analytic approach and positive and analytic approach, this passage studies on security market manipulation and its law and regulation. Combing cases analysis and referring to experience of developed nations in this field, we search into problems resulted from security market manipulation and its legal solution, including setting up preventive system, regulate its law and regulation consisting of government supervision, self-discipline and accountability system in this area.