Research On The Risks Of Growth Enterprise Market In China

The second board market is an important component of the Capital market. It can promote the development of the venture capital; provide the financing channel for the small and middle-sized enterprises. Its function had already affirmed by many countries of the world, especially after the success of NASDAQ. Today, more and more countries put this on the schedule. While it provides the massive opportunities, the second board market also brings the huge risks. Therefore, it has important theory and practical meanings to analyze the risks and propose the corresponding measure.First, the article introduced the elementary theory of the second board market, and then analyzed the necessity and the function of China to set up the second board market. Second, it described the situation of the NASDAQ, the AIM , the KOSDAQ, the JASDAQ, and the Second board market of Hong Kong, which are the main second board market of the world nowadays, and then summarized the success or failure experiences. Third, it divided the risks of the second board market in our into five aspects: the second board market's risks, the Venture enterprise's risks, the investor's risks, the securities company's risks, the supervision's risks, and then analyzed and elaborated it exhaustively. Finally, the article proposed the corresponding countermeasure and the suggestion in five different angles: the second board market's localization, the laws, the regularization systems of the second board market, and the qualified facilitating agency and rational investors.After the detailed analysis of the second board market's risks, this article suggested that the domestic second board market must be located as a platform for small and middle-sized enterprises to financing, which is a supplementary or competed in partial service to the motherboard market, to reduce the risks of the second board market. It is necessary to establish a set of laws and regulation systems to be a legal support. What's more, it's important to establish one whole set regulations to precaution the listed enterprise's risks and the supervision risks: the IPO regulation, the nimble transaction regulation, the strict information disclosure regulation, the highly effective supervisory system, and the delisting regulation. Simultaneously raises the qualified Facilitating agency and the rational investor to reduce the risks of main participate in the second board market.