British Aim Market And Its Development Of Chinese Growth Enterprise Market Of The Revelation

As a significant part of the securities market system, Growth Enterprises Securities Market contributes a lot to the development of the economy. There are numbers of Growth Enterprises Securities Markets all over the globe, among which AIM in Britain appears a most successful one, giving China's Growth Enterprises Securities Market a model to learn.Since its establishment, AIM experienced three stages: early stage, dot.com bubble, and internalization. As a securities market specializing in high-growth enterprises, AIM's small- and medium-sized companies cover a wide range of industries and AIM has absorbed hundreds of overseas companies. On concerning the investors, AIM owns an investor grope in which long-term and specialized institutional investors composed the majority. AIM's market quality is considerably high, and its economic function runs well. On the institutional aspect, the market has four features that are worth great attention: The first one is the Nomads Regulation System, which is a principle-oriented and decentralized regulation system. In this system, part of the regulation obligations are outsourced to Nomads, and it works well. The second is the comprehensive trading system, which is comprised of both mixed trading system and market-making system. The third is"Designated Markets Initiative", facilitating overseas enterprises with their listing on AIM. The forth one is the arrangement of mutual transfer between AIM and The Official List.After analysis, it was found that a series of factors have contributed to AIM's success: a large pool of enterprises for listing, diversification in industry of listed companies, proper investor structure, effective regulatory arrangement, advanced trading system, the influence of London as international financial centre, and so on. For China's Growth Enterprises Securities Market, there are five aspects we can learn from: regulatory arrangement and its strict and proper execution, comprehensive trading system, transfer arrangement between AIM & The Official List, tax incentive to promote the market, and diversification in industry of listed companies.