A Research On Market Effect Of Senior Executives’ Selling Of Growth Enterprise Board Market In China

So far, the Growth Enterprise Market(gem) has been listed for six and a half years. On October 30, 2009, China’s gem officially listed, the initial listing to the stable development of the GEM market, the Shenzhen Stock Exchange to make a series of regulations makes the GEM listed company’s shareholder holdings limited,October 30, 2012, listed on the gem of the first 28 companies limit the sale of shares has full lock up period of 3 years, limit the sale of shares of the gradual lifting of the ban also means the arrival of the gem in the full circulation times, limit the sale of shares after the lifting of the ban reducing effect is most worried about the investors.Since mid June 2015, A shares suffered a rare consecutive plunge, the gem bear the brunt of the Commission issued a reduction of order control to stabilize the market. "Reduction" in January 2016 due to the expiration of the regulators in order to prevent the concentration of the market appears to reduce, and the introduction of the provisions of the "reduction".Reduction to reduce its influence for possible changes in internal visible, the gem of the way to grow all holdings of troubled, and the information asymmetry of market conditions, as the company executives every move of concern, investors are the executives as the company’s future earnings trend, and in reference to make changes to the decision, which may be on the stock market the corresponding gem since the opening of the gem executives to reduce the problem to study the focus, to doing poineering work board executives to reduce the motivation of the research, and the gem executives influence factors and so on, but also the gem executives market reaction studies.Through the literature review, market reaction to the research for the reduction of China’s gem executives are concentrated in 2013 and 2014, the corresponding research in the selected sample data is in 2013 and previous is in the first batch of limit the sale of shares was gradually lifted before and after, the author thinks that this time the gem market exists the following problems:First, because the gem has just been listed concerned by investors, the gem stock is being sought after and speculation investors, attracting more and more investors turn to the gem blindly follow the trend of stocks, and a higher degree of concern may be the GEM market reaction is too sensitive; two, the gem of the first batch of the original shareholders of listing Corporation limit the sale of shares at the end of 2012 to complete the lifting of the ban, that is to say, in the gem before this is a relatively low degree of circulation of the stock market, which may affect the extent of violent reaction to the market; three, the GEM Listing of the first 28 companies are listed on the same day, so whether it is a period of three years or the sale of shares lifted the sale of shares of the lifting of the ban, all 28 companies at the same time after the lifting of the ban, although the gem new companies listed one after another, but no Such a concentrated market, also won’t appear on the lifting of the ban, so in this time period of gem executives reduction to the market reaction, it may also limit the sale of shares of the mass concentration of the lifting of the ban effect.Based on the above three points, I think, just before and after the gem of the first batch of restricted shares lifted this time the reduction of executives of market reaction research, the conclusions are inaccurate and incomplete, so the paper selected from October 30, 2009 to April 8, 2016 for the sample period, because the premise is the reduction of the lifting of the ban. So this paper first on the GEM market reaction to limit the sale of shares lifted the research, then divide the sample into three time periods of the GEM market reaction to the reduction of executives of listing Corporation, is the gem of the first group of the original shareholders of restricted shares lifted after the gem relatively free circulation period and the gem suffered after the stock market crash of the three a period, and then the research on the three period were compared each other simply compared the market reaction and the market reaction and limit the sale of shares lifted executives Holdings Finally, based on the conclusions of the study for the future stability and orderly development of the gem put forward a few suggestions.