On China's Legal And Regulatory Online Securities Trading

Since the 1990's, following the development of information technology, the online securities trading had turned up as a completely new style in the line of business. Endowed with great vitality, it pointed out the way forward for the market and became widely accepted by the dealers and investors for its merits of low costs, high efficiency and breakthrough of restrictions by time and space. However, everything divides into two. Apart from the convenience brought to the investors, the online trading of securities carries hidden risks as well, such as the risks in trading, information, capital management and technology, which will increase difficulties for the job of the securities regulatory authorities in the world.China's history of the online securities trading is in less than ten years. As the current securities regulatory system had been set up before the large-scale development of the internet, only some simple and interim regulations with regard to the online trading of securities are available, which are insufficient for the solution to the problems arising from there. Thus, an urgent need to improve the relevant regulatory system comes up. In view of this, the article will discuss what to do for it by introducing the mature systems in the developed countries and linking to the situation in China.The article includes five parts:PartⅠ: An introduction to the necessity of the study of the regulatory system for online securities trading.PartⅡ: The summarization of online securities trading. Starting from the introduction of the concept, the article has made an analysis of the characteristics and some relevant basic problems by linking to the development in China.PartⅢ: The discussion on the goal and principles of legal supervision of online securities trading in China. In this part the author first sets forward the goal, and then by comparing with the principles of IOSCO, SEC, FSA and SFC, points out those to be followed in China.PartⅣ: The study on how to regulate the online securities trading. The author explicates from different angles, such as the regulation of the securities companies, the...