Study On The Proper Management Of Investor Suitability System

The proper management of investor suitability system is an important and basic investor protection system in Chinaundefineds securities market and even the whole capital market.In order to meet the needs of the rapid development of the market,the Securities Regulatory Commission,in its Regulation on the suitability of investors for Securities and Futures issued in 2017,stipulated the basic classification of investors and the basis and criteria for classifying securities products.This indicates that our country has initially established an appropriate system in related investment fields.However,on the whole,the relevant legislation still presents the present situation of "scattered,chaotic,soft".There are also some such as the scope of application is not clear enough,the basic positioning is not clear enough,the theoretical basis is relatively weak,and the content is not specific and comprehensive enough.The dispute resolution mechanism is relatively single and the relevant supporting legislation is not perfect enough to meet and adapt to the needs of innovation and development of the current securities market in our country.The construction and improvement of the appropriate management system is still a long way.Nowadays,the research on the proper management of investor suitability system is still of theoretical and practical significance.The improvement of the system of the proper management of investor suitability and development in the tide of constant innovation and perfection of our capital market,to the problem of system related research and discussion also has been a "capital market and concerns,but also by domestic scholars' attention and adulation,on the appropriateness of management system,much attention has been paid to study of proper management of investor suitability system has theoretical and practical significance.This paper is divided into five parts.The first part mainly expounds the specific research background,research significance,related literature review,main research methods adopted by the author and the overall structure of the paper.The second part mainly introduces some basic contents of proper management of investor suitability system.This paper expounds some basic theoretical problems such as the concept,characteristics,theoretical basis,applicable scope and necessity of establishing the system,and fully discusses the important role of the appropriate system in protecting the interests of investors and maintaining and developing the market order.The third part of the content mainly from the legislation and the current development of the perspective of a detailed carding and elaboration.First introduced the proper management of investor suitability system in our country"securities law","regulations on the supervision and administration of securities companies and the measures for the administration of the securities and futures investors appropriateness of specific provisions,and emphatically expounds the after the securities and futures investors appropriateness management method" the promulgation and implementation of the important significance and role for our market development.Secondly,it introduces some outstanding controversial issues existing in China's current practice of proper management of investor suitability system.First,in terms of legislation,the legislation of appropriateness management system of China's securities investors is relatively concentrated on the level of administrative regulations and departmental regulations,which has not been elevated to the level of law and lacks clear guidance from the level of law.Secondly,the specific classification of securities investors is not clear.The previous classification of investors in the market cannot adapt to the current rapid development of the market,so new classification is needed.Thirdly,there is a lack of classification system for securities products.It is one of the most basic and most core contents of the proper management of investor suitability system to match securities products with different risk levels according to different classification of investors.At present,the development of the market requires us to make more detailed and clear classification of securities products.Fourthly,the investor risk assessment standard needs to be improved,and the criteria on which the investor risk assessment is based and the subsequent update work after the assessment need to be further clarified.Fifth,the specific contents of securities operators' appropriateness obligation should include the lack of specific provisions.Sixth,the resolution mechanism of disputes arising from securities investment is not sound enough.With the continuous innovation and development of securities market,the traditional dispute resolution methods can no longer adapt to the needs of the rapid development of capital market and need to be constantly explored and innovated.The fourth part mainly makes a comparative analysis of the proper management of investor suitability system of some mature countries and regions outside the region.In this paper,the author chooses the appropriate management system in the United States,European Union,Japan and Hong Kong of China for introduction and research.By introducing and summarizing the contents of the proper management of investor suitability system for investors from countries outside the region,this paper provides some references for the development,perfection and integration of China's system with international standards.In the fifth part,the author puts forward some Suggestions for improvement according to the present situation of Chinese proper management of investor suitability system.First of all,to raise the legislative level,it is suggested that in comprehensively introduces the necessity of improving legislative level and how to improve the legislative level,in the future the establishment of securities law,modification and perfection in the process,in which shall be clearly stipulated appropriateness obligations shall be as a legal obligation of brokerage,in terms of the applicable law to give certain mandatory;Secondly,it is recommended that the part should be clear the classification of the various key elements and brokers the appropriateness of obligation,it mainly includes the clear for the classification of securities investors,securities products classification,operator's obligation of the specific content and investor risk grade evaluation criteria,the determination of various classification can not only improve and optimize the efficiency of application of market resources is more advantageous to promote the perfection and development of securities markets;Thirdly,it is suggested to improve the dispute resolution mechanism.In addition to the traditional dispute resolution mechanism,this paper hopes to gradually establish specialized trial courts in China in the future to make the dispute resolution more professional.