Countermeasures And Strengthen China's Securities Market Functions

Security market links the financial resource and the real economy, the major functions of which lie in mobilizing social capital and optimizing resource allocation. The function deviation from the initial establishment of security market and the system deficiency of construction are essentially attributed to low efficiency of China security market, which consequently appears as the gain ability of the listed companies carries no more advantages than other economy entities. From the realistic aspect, structural unbalance of China security market and defect of behavior of market subjects lead to low efficiency of pricing as well as poor effect of resource allocation and reallocation; From the historical aspect, it is impossible to get rid of the inefficiency due to the deficiency of structural establishment. Security market play an important role in modern economy, so is it necessary to improve the functions of the market. Therefore, China security market should be strengthened by balancing the benefit relationship among market participants, by adjusting the equity structure of the listed company and improving the behavior of the government. Only when the price takes effect in the market and increasing efficiency of the resource by changing equity structure and selection of the management, can we get a more efficient security market.