Research On The Risks Of Stockholder Pledge And Countermeasures

In October 2018,Vice Premier Liu He's important speech at the financial conference and the recent approach of the Shanghai and Shenzhen Stock Exchanges and the China Fund Industry Association focused on the same content: equity pledge.Undoubtedly,in order to stabilize the A-share market,managing the equity pledge is an indispensable step,which also plays a decisive role in analyzing the follow-up stock market trend.Guotai An data shows that as of October 19,2018,the market value of stock pledge in the A-share market was as high as 4.4 trillion yuan,and the distribution was extremely uneven.Among them,the total pledge market value of 45 stocks is as high as 1 trillion yuan.The number of stocks involved in equity pledge in Shanghai and Shenzhen stocks accounts for 98.06% of the total number of stocks in the A-share market.In other words,the number of stocks that did not involve equity pledge at all in the Shanghai and Shenzhen stock markets was only 69.Equity pledge is also a double-edged sword.Solving the problem of corporate cash flow will also bring certain risks.Equity pledges have progressed very smoothly in the stock market,but in recent years,as the stock market continues to decline,its risks have also emerged.The investment in the controlling shareholder's equity pledge file issued by the listed company has little to do with the cash flow obtained through the equity pledge.However,the investment of equity pledges is inextricably linked with the interests of major shareholders.In order to maximize their own interests,large shareholders often use equity pledges to make high-leverage investments without disclosure of their capital use.The invasion of interests creates a series of risks.Therefore,this paper first introduces the concept and significance of the equity pledge risk of major shareholders and major shareholders in the paper.Secondly,it summarizes the relevant literature from the perspectives of the motives,risk types and preventive measures of equity pledge,from the equity pledge system and The information disclosure system introduced the institutional background in two aspects;once again,the case of Intercontinental Oil and Gas Co.,Ltd.,the first company that was forcibly liquidated due to the pledge of the major shareholder in 2017,was observed as a case to observe the pledge process of the equity pledge of the major oil and gas shareholders of the intercontinental oil and gas.Characteristics,find the financing risks that may arise from the pledge of the shareholder's equity,and then draw conclusions and propose countermeasures in a targeted manner.Through the study of intercontinental oil and gas cases,it is found that the equity pledge of large shareholders will cause the cash flow rights generated by the pledge to be transferred to the pledgee in a short period of time,and the control rights and cash flow rights will be more separated,thus facilitating the short-selling behavior of the major shareholders.The moral hazard that triggers the shareholder's interest encroachment,the risk of transfer of control rights,and the market risk of falling stock prices.This paper proposes the following countermeasures for this risk:(1)Optimize the internal governance of listed companies,formulate the norms of large shareholders' equity pledge,form a balanced equity structure,and weaken the opportunities for major shareholders to short the listed companies;(2)Strengthen external supervision,from Policy guidance begins,and multiple departments work together to strengthen the disclosure of equity pledge information and establish an integrated supervision system.At the same time,investors strengthen risk warnings to make rational investments and reduce investment risks.