Information Disclosure Supervision By Industry And Stock Liquidity

In recent years,under the background of comprehensively deepening the reform of China,the securities regulatory system is constantly promoting the regulatory transformation,and the information disclosure supervision is an important basic work for the securities regulatory system.The previous supervision mode by jurisdiction had played a positive role in grasping the overall situation of all companies and supervising these companies to disclosure information,but there are also some problems in this supervision mode.Under this circumstance,in order to better fulfill the front-line regulatory responsibilities of the stock exchange,the Shanghai Stock Exchange and Shenzhen Stock Exchange have adjusted the mode of information disclosure supervision in 2015,from the original supervision mode by jurisdiction to the supervision mode by industry,in order to improve the effectiveness and pertinence of information disclosure and prevent market risks.Although the information disclosure supervision by industry has been implemented for several years,few scholars have studied its economic consequences.Liquidity is the basic premise of an effective and stable securities market,and is the vitality of the financial market.All kinds of crisis events caused by liquidity depletion have brought serious damage to investors,financial markets and even the economy.Because liquidity is very important,there are many researches on stock liquidity in academic circles,but no domestic scholars have studied the impact on stock liquidity from the perspective of securities regulation.This paper studies whether information disclosure regulation has a significant impact on stock liquidity.This research finds that information disclosure supervision by industry can significantly improve stock liquidity,and this effect is more significant in enterprises of non-key industries,with low attention of analysts and with low shareholding ratio of institutional investors.Furthermore,this paper finds that the mechanism of information disclosure supervision by industry affecting stock liquidity mainly lies in improving the quality of information disclosure.It also finds that the promulgation of specific industry information disclosure guidelines can significantly improve stock liquidity.In theory,this paper studies the economic consequences of information disclosure supervision by industry earlier,complements the literature about securities regulation,especially the economic consequences of information disclosure supervision,and also complements the research on the influencing factors of stock liquidity.In practice,this article finds that information disclosure regulation by industry can improve stock liquidity,which provides a scientific basis for the regulators to evaluate the effect of the policy implementation,and is conducive to the regulators to continuously promote the supervision of information disclosure by industry;it is also conducive to encourage listed companies to continue to do a good job of industry information disclosure.