Research On The Risk Of Stock Pledge Financing Business In China

In 2013,The Measures for Stock Pledged Repo Transaction and Registration and Settlement Business(Trial)was issued.Shanghai Stock Exchange and Shenzhen Stock Exchange simultaneously launched on-site stock pledged repo transaction,officially opening the prelude to the rapid development of stock pledged financing business of securities companies.Because of its simple and flexible characteristics,stock pledge financing business provides a more efficient financing way for shareholders of listed companies.With the bull market in 2014,China's stock pledge financing business entered a rapid development stage.With the rapid growth of stock pledge financing scale and the prosperity of stock pledge market,securities companies,banks,trust and non-bank financial institutions have participated in it.As a new financing method,stock pledge financing has solved the financing problems as a pledgor and financier,but it is also increasing the financier's financial leverage and accumulating risks.In 2015,a stock disaster broke out in the stock market,with thousands of shares falling,and many listed companies' share prices fell precipitously.Thus,some shareholders who had previously carried out stock pledge financing faced the risk of being forced to close their positions.In 2018,A-share has experienced a long-term and sustained unilateral downward trend.The daily operation and stock price of many listed companies are seriously affected by the exposure of pledge,which also makes the pledgee and small and medium shareholders suffer losses.The risk of stock pledge financing seems to be cited the trend of systemic risk in China's capital market.Therefore,it is of great theoretical and practical significance to analyze the risk of stock pledge financing business and the measures to prevent and resolve the risk.It can not only enrich the research on the risk of stock pledge financing,but also have practical significance to solve the risk and reduce the loss of shareholders,pledgees and other relevant interests of listed companies.Starting from the current situation of stock pledge financing business,this paper analyzes and introduces the characteristics,business process and financing motivation of the business.Then,the author focuses on the analysis and research of the risk types,risk status,impact on all relevant parties and the causes of the risk,and then expounds the stock quality based on the case of Yuetai stock pledge financing business.Finally,according to the various risks and the causes of stockpledge,combined with the current situation of China's market,the paper puts forward countermeasures and suggestions to resolve the risks.