The Impact Of Capital Account Opening On A - Share Market

In the context of economic globalization, the domestic capital market and the international capital markets are closely linked, and capital account liberalization is an important way to link the two. As capital flows frequently and on a variety of economic factors impact sensitive stock market, capital account liberalization means that not only suffer the impact of domestic economic factors, but also to withstand challenges from the international capital markets. China’s capital account liberalization process, for the development of China’s market economy is of great significance. For dialysis Capital Account Liberalization on China’s capital market, improve operational efficiency of China’s securities market, improve and promote the healthy development of China’s economy China’s stock market system is very necessary to study the different levels of capital account liberalization on China’s A-share market influences.Article selected China 1996 --2014 years, the Shanghai A-share index yield study, the capital account opening four events:in 2001 China joined the WTO,2003 for the first time QFII implementation, implementation 2007 QDII system,2011 RQFII pilot run, as the key point to improve the level of capital account liberalization, which occurred in each event will raise our level of capital account liberalization, and will be introduced into the model as a dummy variable, use GARCH model to study the data to validate capital account open enhance the level of impact on the overall earnings volatility China’s A-share market.This paper studies the process of capital account liberalization of some developed countries to further open capital account liberalization has a certain significance, while the regulators to strengthen supervision and the development and implementation of effective policies related to capital account liberalization provides a realistic basis.