Research On Improving Trading System Of Growth Enterprise Market In China

The choice of trading system is very important to the success or failure of the Stock market. The trading system directly affects Transaction costs thereby af fecting the liquidity of the market, and it also will affect the price stability. Se curities trading mechanism can help the investors to find the market equilibriu m price, and change the investor's potential investment demands into actual tra nsactions. This is very useful to excite the market and promote the price disco very, thereby protecting the stable operation of the securities market. Divided b y the different ways of liquidity, Stock Exchange system can contain the two parts:auction Transaction system and market-making system. Stock market sho uld select Transaction system by its own reality and needs.With the gradually improvement of the《IPO and listing on the GEM Interi m Measures》and its supporting systems and infrastructure. China's Growth Ent erprise Market officially started on September 30,2009. The sound operation o f Growth Enterprise Market needs a reasonable designed transaction system. Th erefore, this paper intends to explore the classification and function of two sto ck transaction systems, compare their advantages and disadvantages, get some i nspiration from the international practice of the Growth Enterprise Market, and combine with the exists problems of trading system after starting the Growth Enterprise Market, to analyze how to improve and develop trading system of t he Growth Enterprise Market, and hope to provide some constructive suggestio ns for building a reasonable trading system of our country's Growth Enterprise Market.