Aanlysis On Legal Issues Of Importing The Market Maker System Into NEEQ

China’s NEEQ has become the OTC market after several times of expansion, which SMEs could finance directly from. For adapting to the new market circumstance, NEEQ imported Market Maker System. According to the experience of developed country’s capital market, Market Maker System could promote market liquidity, stabilize the capital market, and even could help investors achieve price discovery scientifically.Market Maker System originated in English London capital market and developed in American NASDAQ,Which make a great contribution to the abovementioned capital market.However, we Chinese got no enough experience to implement Market Maker System. With fully taking advantage of features of NEEQ, referring to the successful experience of developed country, we should improve Market Maker System constantly.NEEQ has already established relevant legal system for Market Maker System, but it still has some defects.Such as Market Maker get uncoordinated Rights and Obligations, with no enough profits,they lack of Market-making enthusiasm. On the other hand, with no effective market supervision, Market Maker may manipulate the market price through monopolization, false quotations and other illegal way.Once the obligations overweight, inadequate protection of the rights,Market Maker’s initiative is bound to be hit, and to promote liquidity in the market is out of the question. NEEQ made 5% limitation for bid-ask spread for Market Maker, but this restriction is only with top line, but no offline which would lead to Market Maker own no profit or even occur a loss. At the same time, Market Maker must quote obligations including bilateral recommended listing, information disclosure and so on, lack of adequate incentive rights.Referring to the United States, Taiwan and other capital market system construction, NEEQ need to give more rights to the Market Maker and reduce the obligations of Market Maker.The mixed Market Maker System could extend conspiracy offer, but the traditional Market Maker System in NEEQ is hard to supervise. Therefore, the relevant regulatory authorities need to keep entire regulation on the Market Maker, especially the price regulation and information disclosure regulation are the focus of attention. Set regular assessment appraisal system on the one hand, to reward outstanding Market Maker, phase out the loser; on the other hand, establish scientific information disclosure system to ensure timely and adequate information disclosure.We all know that those defects would stop NEEQ’s development and damage investors’ interests. The intention of this thesis is to analyse those issues of importing Market Maker System to NEEQ, and try to give some advices for perfecting Market Maker System in NEEQ.