The Studies On The Trading Behavior Of SHI Yuzhu For Shares Of China Minsheng Banking

In2012, International organizations took the opportunity to sing the air of high-profile bank stocks. Chinese bank shares walk into a slump. Amid to the downturn in bank shares, SHI Yuzhu increases holdings in the secondary market. He finally alone with Minsheng Banking shares rose fought a famous battle. For a time, the capital market in the degree of concern for SHI Yuzhu’s Minsheng Banking shares surge in trading activity. Looking back on SHI Yuzhu’s investment process of Minsheng Bank shares, summarizing the transactions motive, timing and effect, can reveal the individual cases brought to capital market investors, China’s private economy and the stock market regulatory levels revelation from the trading behavior of SHI Yuzhu for shares of China Minsheng Banking.Optimistic about the prospects for the development of the banking industry, familiar with Minsheng Bank, are the initial momentum why SHI Yuzhu select Minsheng Banking shares. The reason for its firm support for China Minsheng Banking stocks were due to Minsheng Bank as a pioneer in China’s private bank, has opened up the core competitiveness of the industry chain with superior risk control.In the investment process of SHI Yuzhu for shares of Minsheng Banking, both massive holdings of activities have also been large-scale reduction behavior. Its holdings or reduction behavior point; often tend to vary according to the different motivations. Through the study found that most of its holdings of behavior motivation is to meet the financing needs for cash to cope with financial difficulties. The transfer price to the market, such as the forward pilot signal undervalued, to maintain price stability of Minsheng Banking is the direct motivation of its holdings of behavior occurred.SHI Yuzhu’s frequent activities of large holdings of Minsheng Banking shares reflect its strong bullish attitude to Minsheng Banking---the only private holding domestic bank. As a testing ground for China’s financial reform, the success of Minsheng Banking, China’s private banks make development possible. However, China is also facing many challenges in the development of the private banks. Development of private banks needs not only courage and determination, but also the development of science based on long-term planning and policy support.In the process of the stock trading behavior of SHI Yuzhu, may exist the use of insider information to manipulate the stock price. And because of loopholes in the existing securities laws and regulations, so that similar behavior is not effectively controlled, orderly securities market has been severely disrupted. Faced with this phenomenon, on the one hand to strengthen small and medium investors with strong investor education market, while small investors should also draw lessons from investment transactions of SHI Yuzhu, the situation is more rational to treat the securities market. On the other hand, the securities regulatory legal system construction process also needs improvement, it should start from the perfect angle legislative system, a clear regulatory status of the main responsibilities, strengthen law enforcement, standardized information disclosure, and strive to do in the process of securities regulation to "Promise must be kept and action must be effective."...