The Research On The Influnce Of New Third Board Liquidity On The Valuation Of Listed Companies

Since the development of the new Third Board market,the market value has increased from RMB 23.6 billion on January 1,2013 to RMB 4.9194 trillion by the end of December 2017.The financing scale has increased from RMB 1 billion in 2013 to RMB 133.6 billion in 2017.As of December 31,2017,there were 11630 new triple-board listed companies.However,although the rapid development of the New Third Board has brought vitality to the development of SMEs to a large extent,it is still in the initial stage of development.There are still many problems to be solved,of which the liquidity issue has been the most underestimated.The lack of liquidity is constraining the value discovery and resource allocation functions of the New Third Board.The lack of value discovery functions is mainly due to the fact that the valuation of the new Third Board market is still at a relatively low level compared to the Main Board and Second Board markets.Therefore,it is of great theoretical value and practical significance to study the impact of liquidity on the valuation of listed companies.If liquidity is indeed one of the reasons that affect market valuation,then in the future,it can help increase the valuation by increasing market liquidity to a reasonable level.According to the arguments of this paper,the valuation of the listed companies in the New Third Board market is mainly related to the liquidity and profitability,but less relevant to the size of the company.Therefore,in the face of the current problems of poor liquidity and low valuation levels in the current NEEQ market,the key to the core solution lies in how to solve the problem of low market liquidity.As long as the liquidity problem is solved,the valuation problem will be solved.Through comparative analysis with the mature foreign three-plate market,we can see that the current liquidity problems of the new three boards are related to the proportion of too few qualified investors and oversized institutional investors in the market,and one of the reasons for these two current conditions is At present,the entry threshold for investors for the new three board is too high.Therefore,in order to address the liquidity of the New Third Board,the issue of high threshold for investors needs to be taken seriously.