Research On Legal Issues Of Investor Protection In Bond Default Disposal

The "rigid redemption" problem in China's bond market has been criticized by the theoretical and practical circles.The "11 super-day debt" has caused a heated discussion after the breach of contract.This case was once considered as a milestone in breaking the "zero default" horror in the bond market..However,judging from the final disposal results of this case,the government's bottom-up phenomenon in China's bond market has not been completely broken.China's bond market has multiple characteristics of bond,the complexity of bond holders,the variety of bond default types and the excessive intervention of administrative power,which leads to the problem of investor protection in the disposal of default bonds.Changes,defaults occur frequently,and bond default disputes are increasing,fully exposing the risks and vulnerabilities of the industry.At present,China's bond market has initially established an investor protection mechanism with information disclosure as its core.However,there are still many problems in the construction of relevant systems: such as the non-standard meeting system of bondholders,unclear responsibilities of bond trustee administrators,and debt-servicing guarantee mechanism.Not perfect,etc.The development of China's capital market started late,and relevant experience has been borrowed from the Western countries represented by the United States.After long-term exploration in the US and European bond markets,the disposal of default bonds has matured and established three stages before,during and after the bond.The investor protection system provides useful experience in solving the problem of investor protection in the disposal of China's creditor's rights.In the face of the lack of protection of investors' interests in bond default disposal,first of all,it is necessary to establish a basic idea of ??investor protection in the legalization of bond investor protection,the marketization of bond default disposal,and the convergence of financial supervision and financial trials;In the construction of specific systems,it is necessary to further strengthen the information disclosure system,improve the bondholders' meeting system,clarify the duties of the entrusted administrators,improve the debt repayment security system,and introduce special protection systems.Finally,we must improve investor protection in default disposal.The supporting system includes the establishment of a multi-disciplinary resolution mechanism,the exploration of bankruptcy and reorganization,the advancement ofdefault disposal ports,and the improvement of the regulatory structure.In the future,for China's bond market,on the one hand,we must change our thinking and face up to the phenomenon of default;on the other hand,we should learn from international useful experience,improve the investor protection system for breach of contract,protect the interests of small and medium investors,and stabilize the bond market.