A Study On Causes Effect And Countermeasures Of IPO Break

The IPO suspended eight months and stared again in June2009.China’s stock market hasalso accelerated its financing steps. The IPO Break is the embodiment of the market insometimes, but we can’t use the market to explain the scale of the IPO break. This paperresearch why buy new shares had money, but now are losing money.Based on the theory and practice of the analysis method, according to the actualcondition of China’s economy, find the reason of the new study break. First of all, from therelated concept of break, to introduce the concept of the break and points out that the breakare at record highs. Second, from the stock of supply and demand caused by the specific, thereason for the break mainly by the IPO price and the number of the IPO, The change inmonetary policy, the secondary market, the trend of the listed company own quality andinvestor psychology are the reason of demand. Finally, Based on the cause of the break, Putforward the suggestion that the market should be refer to industry city is filled with lead,implement American bidding, expanding the scope of the pricing, set harden board and so on.Strengthen the supervision of the listed company and the sponsor, constraints on the behaviorof people profit. At the same time, we want to create a good system environment. Forexample, audit system、exit system and share out bonus system to create the good investmentenvironment. Strengthen investor education and protect investors in order to reducespeculation.