China Capital Market Regulatory Mode And Efficiency Research

Since the1980s, China’s capital market has experienced development process from small to large, according to the current market value of a latest statistics, China’s A stock market value has exceeded40trillion Yuan, the bond market has also been a great development. At the same time, with the development of capital market, regulation and the market continues to adjust and improve with suitable capital market regulatory system, including regulatory legal system. From the beginning of inadequate supervision, to significant changes of the subsequent regulatory approach and regulatory procedures, regulatory institutional system have gradually come to the basic convergence with international practice, and has the characteristics of China’s national conditions. Since2000, with the Commission and other regulatory authorities as the main functions of the joint efforts of industry sectors, including self-regulatory organizations, China’s capital market has achieved rapid development of the basic realization of the overall steady and the overall risk controllable. Despite the dramatic rise and fall over the impact of the stock market in2007, and later in2008by the international financial crisis, the capital market has always been at the front line of tough, but it was not on the real economy in the formation of long-term negative effects. Since the second half of2014, the central government made a sound and perfect capital markets policy, promote capital market reform and promote the development of a wide range of capital markets. As a result, China’s capital market has entered another period of rapid development.Adapted to this situation is that, China’s market regulatory capital needs to continue to refine and improve the theory and practice, in order to ensure the healthy development of the market, not only do we need to control the efficiency of risk, but also need to improve the operation of the market mechanism and improve the capital market. China’s current regulatory system is still missing and there are a lot of problems. It include that the deficiency of protection of investors, authority of security regulatory commission, industrial self-constrain and consciousness of market partners, and also the lag of law updating, which together cause the market cannot perform well enough, have negative impact on the effectiveness of the market. This paper has studied the theory of domestic and foreign regulatory theories and modes, and tested the effectiveness of China’s capital market, give advice of policy that the law system need to be improved and self-regulation need to be enforced for china’s regulation of capital market.