The Research On Information Disclosure System Of China’s Securities Market

Securities information disclosure system is not only the foundation to build anddevelop the securities market, but also is the basic legal system to ensure open，fairand justice of the securities market and to protect the interests of investors. Investors’judgments and decisions rely on information disclosure to a large extent. Therefore,information disclosure system would affect investors as well as creditors and otherinterested parties. The perfect information disclosure system is conducive to stimulatethe enthusiasm of investors, and to enhance their confidence in capital markets. Thusit will promote the healthy development of the securities market.In this paper, I expound the problems of China’s securities information disclosuresystem and its performance mode by analysis of the recent specific cases of China’ssecurities market. And then analysis of the underlying causes of the repeated illegaldisclosure cases, and the shortcomings in which the listed companies are regulated bythe information disclosure legal system. Then on the basis of the problems asmentioned, make some suggestions to improve the information disclosure system.Besides the conclusion, the paper mainly consists of four parts. The first part isthe introduction. It mainly introduces the thesis backgrounds and the significance ofthis topic. At the same time explains the source of the cases discussed in this article,as well as the analysis point and structure of the entire paper.The second part is through few typical cases of the securities market in recent years, reveal the problems and present situation of disclosure untrue, not timely etc.And elaborate several performance modes of illegal disclosures through summing upalong with analysis. There are four modes:1.false disclosure by making up unrealfinancial information;2. not disclosure within the legal time limit or in legal form;3.not disclose or disclose over the important information that should be disclosed;4.disseminate false or misleading information to investors through the media or othermeans.The third part is aimed at the situation that illegal information disclosure insecurities market repeatedly occurred, analysis of the reasons from the aspects below:current laws and regulations system is imperfect; lack of supervision; and related legalliability system is not perfect. Current laws and regulations for securities transactioninformation disclosure aren’t enough. And the laws and regulations of the internalgovernance of listed companies and accounting and auditing aren’t perfect, so listedcompanies and accounting firms and other intermediary agencies conduct illegaldisclosure together. Absence of supervision is the direct cause of the illegal disclosure.The neglect of Self-regulation of securities exchange and ineffective socialsupervision are the main problem of the lack of supervision. The unsound legalliability system not only makes the listed companies have low legal costs, but alsoincrease the cost in safeguarding the rights and interests of investors. And the illegaldisclosure lack of a good restriction mechanism.The fourth part mainly discussed how to improve the information disclosuresystem aimed at the reasons above. Based on previous research, the part would putforward recommendations to improve the information disclosure system in aspects ofthe current laws and regulations, supervision pattern, legal responsibility. First of all,improve the existing information disclosure laws and regulations, including focus onthe protection of the securities transaction information, and improve internal corporategovernance and relevant accounting and auditing laws and regulations; Second,improve government supervision, strengthen self-regulation, and strengthen socialsupervision to build comprehensive regulatory system; Finally, it should increase thecost of violations of law, and improve the legal liability system to curb the occurrence of the illegal activities.