Study On Advance Compensation System In Securities Market

In recent years,China's securities market fraudulent issuance,false statements and other frequent cases,seriously infringe on the rights and interests of securities investors,crack down on investment confidence and affect the healthy and orderly development of the securities market."The draft amendments to the securities law" increased investor protection changes,the timely introduction of the advance compensation system,this system as one of the diversified investor protection system caused concern.The advance compensation system in securities market refers to securities market the issue of fraud,misrepresentation or other illegal acts,made in judicial adjudication,the responsibility underwritten the payment to investors,to a system of other joint liability compensation.The advance compensation system in securities market can effectively curb illegal behaviors such as fraudulent issuance and misrepresentation,and solve the problem of civil compensation for investors' securities disputes,which is an innovative measure for China's securities regulation and investor protection.At present,the system is still to be formulated,the academic research is scarce,and the case practice embodies many problems,and it is urgent to establish and improve the system.This article is composed of three parts: introduction,text and conclusion,and the text is divided into five parts.In the first part,we mainly introduce the system of the advance compensation.The introduction and development,concept and legal nature of the advance compensation system are discussed.In the second part,it mainly discusses the necessity of introducing the system of advance compensation in the securities market.The first compensation system has already been applied in consumer protection and insurance fields,necessity of introducing the advance compensation system of securities market is that the securities civil disputes in China's judicial relief has great limitations,and lack of group litigation system,the actual existence of the subject to bear the civil liability for compensation,the single investor litigation cost is high,cause investors can not get timely and effective protection and relief.In the third part,it mainly discusses the rationality of the introduction of the advance compensation in the securities market.It proves its rationality from thefunction and legal logic of the first payment.Its rationality lies in its functional value such as reducing the cost of relief,improving efficiency and so on.It is also consistent with the legislative logic in the field of legislative logic,in the field of consumer protection and social insurance law.The fourth part mainly discusses the urgent need for legislative construction and improvement.At present,the advance compensation system in the securities market is still being formulated,but there are three cases of securities first compensation in practice.In practice,there are some problems in the practice of advance compensation,such as the main body of the claim is not clear,the scheme of compensation is not scientific,and the efficiency of compensation is low.The fifth part,the construction and improvement of the advance compensation in the securities market.In order to build a securities advance compensation system,we should first start with a clear definition of the main body of the advance compensation liability,the selection of eligible compensation objects,the formulation procedure of the compensation plan,and the protection of the compensation efficiency.