Research On The First Payment System Of Securities Market

The protection of investor interest in capital markets is not only the starting point of market reform and innovation,but also the ultimate goal.For the purpose of protecting the interests of investors,the securities market’s first payment system aims to provide investors with quick and convenient ways to obtain compensation for losses caused by false statements,insider trading,and manipulation of market violations.The practice of market payment tells us that the advance payment in the securities market is a kind of beneficial exploration and attempt to realize the credit return of the securities market and form a benign interaction and development between market entities.Under the background of the establishment of the investor protection monograph in the first,second and third drafts of the revised Securities Law,the research on the first payment system of the securities market has practical theoretical and practical significance.The first part of this paper is mainly based on the requirements contained in the system itself,and analyzes the functional positioning of the securities market first payment system.It mainly includes four aspects: the establishment purpose of the system,the definition of the system,the pursuit of the priority of the system to the efficiency of the business,and the constraining effect of the system on the formation of the market entity.This part of the content also constitutes the premise and basic factors for the design of the main content of the system in the third part of the article.The second part mainly discusses the necessity of establishing the first payment system in the securities market based on the external realistic demand of the market for the claims system.It mainly includes the governance requirements of frequent securities violation cases,the related principle norms,the need to refine,deal with and resolve the objective requirements of securities disputes,and the internal needs of maintaining investor market confidence.The above two parts are mainly the analysis of the theoretical support and value source of the first payment in the securities market.The third part is the discussion of the main contents of the first payment system of the securities market.On the basis of the principled provisions of the revised draft of the Securities Law on the advance payment of the securities market,the main contents of the payment are divided into the following parts: the basicprinciple of compensation,the definition of the compensation entity,the clear scope of the payment,and the rationalization of the payment procedure.The setting,as well as the risk control after the payment,that is,the arrangement of the compensation right of the compensation entity.The arrangement of the main content of compensation also requires consideration of the nature of the private law reconciliation inherent in the pre-payment system.Due to the self-discipline and non-mandatory characteristics of the compensation system,the design of the relevant part of the main content should also have certain flexibility.Reserve a large amount of flexibility for the application of the pre-payment system.The fourth part is the implementation guarantee of the first payment system of the securities market.The effective functioning of the securities market’s first payment system is inseparable from both administrative and judicial support.On the one hand,we should use the administrative supervision measures to give play to the positive guiding role of administrative power and mobilize the willingness of relevant entities to pay.On the other hand,the securities market first payment system as a long-term mechanism to protect investors’ rights and interests,due to the institutionalization and normalization of rules,should also pay attention to the relationship between coordination and judicial trial,and use the demonstration judgment mechanism to relevant facts.The identification and the applicable standards of the law are clarified,and the effective connection between the judicial trial and the advance payment system is realized.