Study On Selective Method Of Market Maker’s Number Interval Of Listed Company In New Third Board

New third board market is a new type of structure of China’s capital market, and the market maker system is a new trading system which was introduced in August 25, 2014.Market maker system has played a good function in price discovery of the stock of the listed company and the improvement of stock liquidity. However, there is a phenomenon in the new third board market that the number of market makerand listed company doesn’t match each other, and the proportion that listed companies using market maker system is very small, besides, there is no respective instructing policy about how to choose market maker’s number of listed company in new third board market now. So there is a strong need to study this problem.Firstly, this paper describes the history and development of new third board market, elaborates the discrimination of different security trading system, then analyses the influence thatthe market maker system has on the new third board market and its stakeholders. And then this paper put forward the station and existing problems of China’s new third board’s market maker system.Secondly, this paper analyses the influencing factors of listed company from the internal and external of the new third board market, and then studies the choosing method of market maker’s number in foreign countries. In view of the lack of the system in the beginning of new third board market, this paper makes some theoretical assumptions to ensure the smooth development of the study. Besides, this paper selects measuring indexes that market maker influences the micro structure of the new third board market, namely: market competition degree, stock liquidity, holding cost, bid-ask spread and market maker’searning. Then, this paper constructs models between measuring index and market maker’s number respectively, namely: MHI model, ILLIQ model, SR model, BSW model and EIL model.Again,taking "Capital online Data Service Co. Ltd"(Stock Code: 430071) as example, this paper selects 91 trading days as the data source in its transaction records from August 25, 2014 to October 28, 2015, then calculates the market competition degree, stock liquidity, holding cost, bid ask spread and market maker’s earning of 430071 with MHI model, ILLIQ model, BSW model, SR model and EIL model, and then gets their respective trend with the change of market maker’s number,with which this paper gets the respective optimal number interval of market maker through volatility method, thengets the comprehensive optimal number interval of 430071 when thestakeholders’ overall benefitof new third board market reaches the maximization with method of interval intersection.Finally, combining with the study content, this paper comprehensively elaboratesthe study result, that is, this paper mainly completes the tasks that improving the theory of market maker system and providingtheoretical reference for the actual implementation of the market in the beginning of new third board market. In addition, this paper puts forward the conception of listed company’s number of market maker in future study in new third board market.