Study On Revocation Power Of The Securities Error Trades

After decades of development, the securities market has become a highly centralized and highly systematic system. The normal trading order of the securities market is affected by many factors, which may cause the error trades. Error trades can rapidly affect the market and have widespread impact on market users. Revoking error trades is very important for maintaining the market order and the users’confidence in the markets.In this paper, the subject of study is the revocation power of the securities error trades. This paper analyzes the lack of the revocation power in the Securities Law, discusses the basic theory of revocation power of the securities error trade, and makes a comparative analysis the exercise conditions of the revocation power and procedures of the revocation. Then, it provides a reference for the establishment of erroneous trade revocation system. The main contents are as follows:The first chapter is "the introduction of the question". This part describes the whole process of the "GuangDa Securities trading error incident" and the evaluation of the society after the event. This part also introduces the power of revocation of the securities error trade in the mature securities market. This part analyzes and reviews the relevant laws and regulations of the current securities legal system in our country, especially the relevant provisions of Article 120 and 114 in the Securities Law.The second chapter is "the fundamental theory about revocation power of error trades". The revocation power of the error trade is conducive to the realization of fairness and justice, maintaining the normal order of the securities market, and safeguarding the interests of investors. Then it compares the functions of the stock exchange with the functions of regulatory body of the securities industry and the judicial organs, the revocation power of the error trade should be exercised by the stock exchange. This part also analyzes the legal attribute of revocation.The third chapter is "the comparative analysis of the conditions of the revocation power and the procedures of the revocation of the error trades". This part analyzes the conditions of the revocation power of error trades. And then, it compares the disposal process of the revocation of the error trades of each country’s stock exchanges, especially the New York Stock Exchange, London Stock Exchange and the Frankfurt Stock Exchange.The fourth chapter is "the conceive of revocation power of error trades system in China". This part firstly proposes the idea of establishing the system of the revocation of securities trade. Then, it introduces the start-up procedure, the decision making process and the relief way of revocation power of error trade.The fifth chapter is a precise conclusion.