The Empirical Analysis Of Stock Market Volatility Affect About Margin In China

In March 31, 2010 China launched a credit trading securities offically, so that China's capital market in the trading mechanism of bilateral market-making. Although until now, only the margin trading more than six years, but the deal size and growth trends in the market are sharply rising trend. April 20, 2016, the total in Shanghai and Shenzhen margin balance has reached 880.224 billion yuan, of which two financial balance of the Shanghai Stock Exchange was 507.989 billion yuan, two financial balance of 372.235 billion yuan in Shenzhen, Shanghai and Shenzhen financing the balance of 873.984 billion yuan, the two cities margin balance of 46.943 billion yuan. March 2012, refinancing of margin trading system is running, so that investors can make facility market funds and securities in different securities companies and other financial institutions to meet the needs of most of the funds and securities on the stock market fluctuations in liquidity and prices have had a certain impact. Therefore, to study the use of the latest credit transaction securities margin transactions has important practical significance and reference value of the stock market volatility generated right.In this paper, comparative analysis and qualitative analysis research method of combining theoretical analysis of the mechanism of financing and margin trading have an impact on the stock market. And pointed out several basic problems in China securities credit transactions at the Present Stage. Empirical Research on some of the selected object of study is all of the transactions carried out since the Shanghai and Shenzhen margin, the selected sample period is from March 2010 to June 2015, a measure of the entire stock market fluctuations is the inclusion of securities fluctuations in credit transactions underlying stock range CSI 300 refers to the daily rate of return. GARCH model by establishing an empirical study on the relationship between the three time series data, thereby to determine the credit trading securities after the launch of stock market fluctuations and What role the relationship between the presence of margin trading. Based on the full sample data market will be divided into two stages, namely the stock market downturn of March 2010 to July 2014 and departure on the stock market in July 2014 to June 2015 in the comparative analysis of both market conditions, respectively financing business, trading business on the stock market fluctuations affect the size and direction of action.This study concluded that: at this stage, short sales transactions to change China's stock market fluctuations and there is no obvious effect. Financing to buy empty traded in different market conditions in different role in China's stock market, the departure financing transactions quickly and consistently increased the volatility of the stock market, but the effect of the downturn in the stock market financing is not obvious.