Study On The Liquidity Of Enterprise Bonds Market

According to our current domestic situation; from the perspective of bonds liquidity; by analyzing g and determining the current situation of corporate bonds market. Based on the overseas maturing financial market, we focused on the fundamental reasons which reduced the liquidity of corporate bonds and established effective system to improve liquidity of bonds market.First of all, we identified the corporate bonds which can be recognized as the asset's ability to quickly be liquidated or converted through an action of buying and selling without causing a significant movement in the price. And then we analyzed the liquidity which incorporated by three elements, depth, width, and significance to conduct liquidity analysis of bonds market, equity markets and treasury market. On the other hand, we performed the relationship analysis involved in causes and indicators of liquidity, and which reflects that our corporate bonds liquidity is comparative lower, and which is harmful effects. And then, by constructing the active planning model and integrated the real market situation to shows that market information, exchange market, professionalism of investor and products are the significant effects of market liquidity. Finally, according to the effects of liquidity, we make some recommendations and suggestions to improve corporate bonds market liquidity, which can be implemented by improving the credit system, investor structure, exchange system, products.