Analyze The Legal Regulation And Supervision Of Cross-market Joint Manipulation

With the constant improvement of the financial market system and the innova tion of various business,the relationship between each market of different areas has become more and more close.The cross market transaction based on the relationship is popular with the investors for risk-sharing and optimizing invest ment structure.But it must be noted that the abuse of the cross market transac tion may lead to a very negative impact,so relevant regulatory has to enhance the supervision about cross market transaction so that make sure of the norma loperation of capital market.Among the kinds of cross market transaction,the c ross-market joint manipulation by using the linkage relations between stock marke t and stock index futures market is far more complex and concealed than the tradi tional manipulation of the securities market,and poses a very big threat to the ma rket for doing harm to the function of securities market in resource allocation a nd the function of stock index futures market in avoiding risk.In such a way,th e orderly operation of two different markets is disrupted by the cross-market jo int manipulation.In a word,the cross-market joint manipulation will cause mor e serious damage to the investors and the markets,and bring new challenge to the existing supervision system.The regulatory authorities must further strengthen the legal regulation and the routine supervision about cross-market joint manipu lation in order to prevent the market risks.This paper is focused on the legal r egulation and the routine supervision about cross-market joint manipulation.First of all,this paper discuss the correlations among assets price and information t ransmission between stock market and stock index futures market.On this basi s,the feasibility of cross-market joint manipulation is thoroughly analyzed.The discussion in the second part of this paper is focused on the basic component f actors of the cross-market joint manipulation,we didn't only talk about the actor's market operation ability,the subjective intent of the actor,the causal relationsh ips between manipulation and abnormal price volatility,but also study the abnor mal liquidity change of assets so that can make an accurate on the cross-marke tjoint manipulation.And then,this article further define the characteristics of cro ss-market joint manipulation through the method of comparative analysis.The third part is about comparison of various countries' present cross-market surveillance.On the basis of the discussion about the advantage of different kinds of regula tory model,the characteristics and shortcomings of current market regulation in our country is studied.At last,the paper proposes the suggestion on legislation,strengthening supervision,prosecution system for future system improvement and op timization of reference.