Domestic Listed Companies, The Risk Of Investment Research

AbstractVentUre CaPital is a new way of investInent and finance, whosedevelopment and maturity can not lack the support of caPital market. ThecaPital market in China plays a critical role in the start of domestic venturecaPital. Different from NASDAQ in USA, the caPital market in China willassume the dual mission as the source and exit of ventUre caPital at the sametAne. Pub1ic ComPany in the Key Board Market can aPPly stock caPital tovenfore caPital by direct or indirect means, The Second Board Market inconSmiction will invest flow caPital and lower the forssion threshold ofhigh-tech enterprises, thus suPPOrting the deve1oPment of ventUre caPital.ln this paper, Public Company VentUre CaPital (PCVC) refers to theaction tha public comPboes in domestic Key Board Market offermanagement services of financing and inveshng to thosetecImo1ogy-intensive enterprises in which vast risks and benefits coexist sothat they on realhe caPital increment. Pub1ic comptries depend on vastarnouns of equlty caPital, bring the image advantage in the product andcaPital market into Anl play, uti1ize caPital management experiences, increasecaPital value and ekit smoomiy.The paPer includes five partS f PaIt one analyzes the developmentprocess and concrete character of Corporate Venture CaPital (CVC) in USA,Part TWo surveys the six models in domestic PCVC and sumrnarizes someimportant character; PaIt Three fixes the extent of market risk faced b}'PCVC and explicates concrete straegies of market risk management, PartFour discourses tWo kinds of agenc}' risk existing in PCVC and effectivel}'devises stimulative and restrictive mechanism, Part Five clarifies the polic}'risk in PCVC and propounds policy suggestion according to it.The research achievements and irmovations of the paper are mainl}:embodied in several perspectives as follows fFirstly, as to researches of the relationship between venture capita1 andcapital market. domestic theon' corrununity mainly focuses that the 1atter isthe exit of the fOrmer. ln fact, the function of capital market is not merel}'limited to this point. For example. PCVC has widened the limit. Thepaper tries to form the systematic research system about PCVC and boerthe knowledge of the relationship between venture capital and capital market.Secondly, the paper explicitly fixes the conception of PCVC. The extent of PCVC is not limited to the venture capital company (find). The Paper analyzes six kinds of direct or indirect models, thus extending the implication of PCVC.Thirdly, the paper classifies main risks confronted by PCVC and probes into concrete risk management strategies according to the fact that there is little special theory or method to deal with risk management in present theory community. As for the market risk, the paper propounds that corresponding risk management methods should be implemented in the four links of dealinitiation, project screening, prediction and evaluation of benefits and management of after-investment, based on the analysis of earning potential of the industry and competitive advantage of the enterprise. With regards to the agency risk in PCVC, reasonable stimulative and restrictive mechanism should be designed respectively aimed at venture capitalists and entrepreneurs. The paper divides policy risks into those existing in the three main links of investment decision, management of venture enterprises, and exit of venture capital. The paper also propounds policy suggestions that the government should consummate venture capital surroundings in the enterprise technology appraisal system, the law and regulation on venture capital, the implementing system of intellectual property, medium service, capital actualization access, taxes system and etc.