Sponsor Legal Issues

The sponsor acts a very important role in the stock market. The securities supervising administrative department in China brings in this system so that the sponsor can continuously instruct and supervise the issuing listed company, and finally enhance the quality of listed company and protect the interest of the investors. However, the sponsor system in China does not go well these five years. It causes a great many of new problems in practice. Facing the great attack on the world economic development from the global financial crisis, we have to draw a lesson and take some effort to self-examine and improve our financial supervising administrative system. At present our stock market is just under the crucial full- scale development and the formally opening of the growth enterprise market is just round the corner. In another word, whether the sponsor system's function can be dug out completely or not will have a closer relationship with the future and fate of the whole stock market. Therefore, the author thinks that it is of great necessity that our sponsor legal issue should be studied systematically under the new situation of economic development.This article is composed of three parts including the foreword, the body and the conclusion.The foreword part gives a brief introduction of the thesis'topic background in the first place. Thereafter it sums up and analyzes the review of the study on the relative issues of our current sponsor system, and evaluates the review as well. Finally, this part introduces briefly the content, the thought of demonstration and the innovation.There are three chapters in the body. The first chapter, consisted of three parts, introduces the basic theory of the sponsor system. The first part outlines the historical reformation of our securities issuing system. In the second part, the author analyzes the equity, efficiency and safety value of the sponsor system on our stock market's development. In the third part, the author analyzes the property of the sponsor. Based on this, the thesis also mentions the really probable risk brought by the sponsor and the necessity of improving the legislation supervising administration on the sponsor.The second chapter, consisting of three parts, summarizes the present studying situation of our sponsor legislation system and puts forward the unfavorable factors against the value realization of this system by the analyze of the real cases. The main problems include the narrow scale of the sponsor subject and the low standard of becoming the sponsor. What's more, our sponsor's time in office is so short that it is not good for the continuous supervising and administration of the listed company. Finally, there are many disadvantages in our sponsor responsibility system.The third chapter is about the legislation improvement of our sponsor system including four parts. The first part briefly puts forward that the experience and the lesson from the global financial crisis should be taken. And it calls for improving the outside supervising and administration of our sponsor. In the second part, the author addresses that China should refer to the successful experience of other countries, and adjust the sponsor composition and enhance the standard . In the third part, some advice for the improvement of our sponsor's system has been put forward so that the investor's interest can be protected and saved in time and in efficiency.The conclusion part highlights the significance and accomplishment of the thesis.