On The Equity Pledge

Pledge of stock rights arises with the development of commodity economy and corporation law system, is the product of commodity economy. In right securitization and market credit high speed development of today, in pay more attention to the efficiency of modern society, it with a high degree of convenience and liquidity, more and more attention. As a historical isn't a long new guarantee system, equity pledge containing enormous development outlook, is full of the spirit of The Times, the emerging guarantee system for prosperity market economy, enhance market vigor to have the important meaning. However, the characteristics of financing swift as a double-edged sword, also bring a high level of risk, in how to avoid risk issues, China's relevant departments in practice and theory have made certain attempt, but still exists some problems.This paper is divided into three parts:The first part Outlines, this paper discusses the concept, equity ownership pledge to the nature and equity pledge the nature, and the system of equity pledge briefly elaborated value.The second part is the content of the equity pledge system, the establishment, to equity pledge the effectiveness and implementation on the different types, according to the study, detailed in a public company and a private company establish, validity and realize aspects of theory and system, and put forward the theory of controversial his own opinion. Meanwhile on ownership limitations of pledge system also put forward some opinions of his own and gives the perfect recommendations.The third part is the risk and prevent equity pledge, from the objective and subjective aspects analyzes the equity in practice pledged market risk, liquidity risk, operation risk, legal risks and moral hazard, aimed at each different risk prevention.