The Study Of Stopping The Umbrella Securities Investment Trust By CSRC

In this round offluctuation of stock market, umbrella securities investment trust and other illegal ways of margin trade off Exchangearethe key factor to push the stock price. Meanwhile it made stock price plummeted that CSRCasked to stop umbrella trust.At the time stock price was falling down, the risk early-warning mechanism was triggered continuously, which was regarded as the key factor of the plummeting of stock market. In my view,although the umbrella securities investment trust mightbe in conjunction with some illegal ways of financing off Exchange in practice, but itselfwas absolutely legal. In addition, although the umbrella securities investment trusthas played an unstable role in the stock market in 2015, in a more long-term circumstance, the advantages of the umbrella securities investment trust will overweighits disadvantages. Therefore the umbrella securities investment trust should be allowed to survive and develop, and be incorporated into the overall plan of financial reform.Many problems can be solved together through a series of measures, which can serve the more market-oriented financial system in the future.Different regulatory authorities should cooperate with each other and punish the violations of the law seriously. At the same time, some unreasonable aspects of legislative can be consider to revise or adjust, such as the filing system and the qualified investors system ofthe umbrella securities investment trust.