Comparison Of The Return Path Of Chinese Concept Stocks

Overseas listed companies are an important part of China ’s economic system.Chinese companies listed in the United States face a crisis of confidence due to financial problems and the opacity of the VIE structure,and face the risk of strict supervision and even delisting.For the sake of risk aversion and business strategy,many Chinese companies choose a variety of ways to return to Hong Kong or other overseas capital markets.Based on the return events of Chinese concept stocks,this paper takes Zhihu’s dual main listing and Weibo ’s secondary listing as examples,compares and analyzes the differences of different return paths of Chinese concept stocks,and analyzes the effects of different return paths.The results show in terms of path comparison,the regulatory conditions for secondary listing are relatively loose,the cost of listing compliance is low and the time is short,and the stock prices of the two capital markets are linked;the dual listing regulatory conditions are strict,the listing compliance cost is high,the time is long,and the stock prices of different capital markets are independent of each other.In terms of financial effects,in the short term,the secondary listing did not improve the performance,while the dual major listing achieved an increase in cumulative excess returns.In the long run,secondary listing and dual major listing have failed to bring significant improvement to the financial performance of enterprises.From the perspective of non-financial effects,both secondary listing and dual major listing can reduce the risk of delisting,broaden financing channels and enhance investors ’ awareness.Based on the research findings,this study presents pertinent recommendations from the perspectives of Chinese stock enterprises,relevant government agencies,and individual investors,with the aim of facilitating the seamless re-entry of Chinese stock companies into the domestic capital market and advancing the growth of China’s capital market.