The Influence Of 50ETF Option On The Underlying Stocks

On February 9,2015,our country open options trading,for consummates our country securities credit trading system that is a solid step.Credit trading is an innovative market system,is a powerful supplement of the existing institution.But the study of academic credit transactions has just started and the question of the credit trading how to influence the stock market,not have a theoretical results of agreed,therefore,for China’s option,may promote the arbitrage trading,stabilized share price volatility,may also be fueling speculation that led to the slump in share prices.Especially in 2015,Shanghai and Shenzhen stock market had a surprising abnormal fluctuation.Thus also came on the market for Short-Mechanism of criticism.Some people think that the current Short-Mechanism is the main reason of abnormal fluctuations in the stock market.From the mature market,in the event of a crash or financial crisis,for the purpose of further deepening and save the market confidence to prevent crisis,usually give some restrictions to the shorting mechanism.But,Short-Mechanism how to effect on the market,has to been controversial.Securities market is still in primary stage in our country,from the market development direction,the more necessary to this problem should be studied,not afraid of take a heavy toll on the market,and ditch marketing tool.50 ETF options bring convenience to study the effect of short selling mechanism on asset efficiency,and provide a rare natural experiment environment.Based in June 2014 to June 2015 Shanghai China A-share market data,by comparing the underlying stocks,the underlying stock and the options and efficiency before and after the stock to join the option target,find options trading launched to improve the price discovery mechanism of China’s stock market,the efficiency of the underlying stock options have been improved.Further research also shows that liquidity by raising the stock options trading,to reduce the degree of information asymmetry and increase its stake width,thus improve the market efficiency.Existing research on the Chinese market of the empirical literature mainly examine short-selling in the market index level.The influence of China,however,short-selling are small in scale and the impact on the market,the empirical results do not have enough conviction and foresight;And a few of individual stocks level by adopting a measuring model of the empirical literature and method is relatively rough,the result is not stable.Compared with the market index,the influence of the shorting of stocks more reliable,so this article use more rational b-spline linear clustering method,from the individual stocks level test results of China’s pilot options for reference.