Securities regulatory bureaus and industry associations in many places have taken action!

China Fund News reporter Li Shuchao

Investors are the foundation of the market, recently, the China Securities Regulatory Commission held the first "5.15 National Investor Protection Publicity Day" special activities after the introduction of the new "National Nine Articles", focusing on the introduction of a series of institutional rules such as issuance supervision, transaction supervision, investor rights and interests protection, and diversified resolution mechanism for securities and futures disputes, which fully reflects the clear orientation of protecting investors.

Recently, the relevant dispatched agencies and industry associations of the China Securities Regulatory Commission have actively interpreted the investor protection policies and systems, introduced their own experience and practices, as well as publicity and education activities, and will focus on improving the quality of listed companies, improving the professional service level of institutions, and severely cracking down on securities violations and other key work, and take multiple measures to do a good job in investor protection.

Relevant dispatched agencies of the China Securities Regulatory Commission and industry associations have carried out multi-form and multi-channel publicity activities

The securities regulatory bureaus and the Asset Management Association of China resolutely implement the spirit of the new "National Nine Articles" and the relevant deployment of the China Securities Regulatory Commission, simultaneously carry out special activities related to the "5.15 National Investor Protection Publicity Day", and integrate investor protection work into the whole process and all aspects of daily work.

On the day of the event, the relevant dispatched agencies of the China Securities Regulatory Commission and industry associations carried out multi-form and multi-channel publicity activities to prevent non-investment, education, and non-compliance.

On the day of the "5.15 National Investor Protection Publicity Day", the Shanghai Securities Regulatory Bureau held a carnival for the protection of rights and interests, linking more than 20 securities, funds and futures investor education bases across the country to jointly create characteristic investment education activities for investors in the central green space of Lujiazui in Shanghai, and attracted the participation of the general public by punching in stamps and participating in interactions.

The Heilongjiang Securities Regulatory Bureau guided industry associations and various market entities in the jurisdiction to actively carry out a series of activities on the "5.15 National Investor Protection Publicity Day", focusing on the theme of "Caring for Investors and Acting Together - Promoting High-quality Development and Boosting Investor Confidence", focusing on improving the quality of listed companies, serving the high-quality development of the capital market, and severely cracking down on securities and futures fund violations of laws and regulations, and widely publicizing securities and futures fund laws and regulations, investor rights and interests protection system rules and non-litigation dispute resolution mechanisms through multiple channelsto help investors popularize investment knowledge and establish a sense of rational investment and rational rights protection.

The Xiamen Securities Regulatory Bureau organized and guided local industry associations and a number of securities and futures institutions in its jurisdiction, and jointly organized a series of investor protection publicity activities in various forms and rich contents in seaside parks and other places. At the same time, the Xiamen Securities Regulatory Bureau has highlighted innovation in investment education, created southern Fujian characteristics, continued to make efforts, promoted the integration of investor education into the national education system, and continuously improved the level of investor education services.

The Asset Management Association of China (hereinafter referred to as the Association) organized the 2024 "5.15 National Investor Protection Publicity Day" and "National Publicity Month for the Prevention of Illegal Securities and Futures Funds (hereinafter referred to as the Anti-Africa Publicity Month)".

In terms of investor protection, in recent years, the Association has successively issued self-discipline rules such as the Measures for Handling Complaints, the Rules for Dispute Mediation, and the Measures for Whistleblowing (for Trial Implementation) to clarify the scope of complaints and reports to investors, realize the classification and handling of complaints and reports, and further improve the quality of clues and the efficiency of handling complaints and reports.

In terms of investor education, the Association issued the Guidelines for Investor Education in Public Funds (for Trial Implementation) in 2023 to strengthen the investment education and evaluation of the fund industry. Continue to organize a series of investment and education activities close to the people and the masses of "Fund Industry into the Community"; In the "Fund Industry in Action" brand activity created by the Association, the Investor Education Committee of the Association went into community streets, government agencies, enterprises, and scientific research institutions to reach the key groups of "one old and one young", and continued to expand the influence and coverage of investor education in the industry.

Take multiple measures to protect investors

Adhering to the concept of "investor-oriented", the relevant dispatched agencies and industry associations of the China Securities Regulatory Commission have focused on improving the quality of listed companies, improving the professional service level of industry institutions, and severely cracking down on securities violations and regulations, and taking investor protection as the top priority of regulatory work.

First, in terms of enhancing the investment value of listed companies, the Shanghai Securities Regulatory Bureau has promoted listed companies in its jurisdiction to actively carry out cash dividends and repurchases to better enhance investors' sense of gain. Focusing on improving the quality of listed companies, since the beginning of this year, focusing on the theme of better promoting the development of new quality productivity, the leaders of the bureau have led a team to investigate and visit 8 listed companies to promote the solution of problems in the development of listed companies.

The Xiamen Securities Regulatory Bureau further promotes the improvement of the quality and investment value of listed companies. Strengthen the guidance and supervision of listing, strictly control the entrance, and effectively keep counterfeiters and "sick passers" out of the door; Strengthen the continuous supervision of listed companies, implement key tasks such as cracking down on counterfeiting and preventing counterfeiting, promoting dividends, standardizing shareholding reduction, and improving governance, and urge listed companies and the "key minority" to strengthen the main responsibility of investor protection.

Second, in terms of improving the professional service level of industry institutions, the Heilongjiang Securities Regulatory Bureau has consolidated the main responsibility, and put forward requirements for all securities and futures institutions, listed companies, new third board listed companies and other market entities, to smooth the investor service telephone, patiently and meticulously deal with all kinds of complaints, consultations, suggestions, properly resolve contradictions and disputes, practice investor protection with practical actions, and enhance investors' sense of gain, security and satisfaction.

The Xiamen Securities Regulatory Bureau urges securities and futures institutions and private equity fund managers in the jurisdiction to correct their business philosophy, strengthen the management of investor suitability, standardize quantitative trading and other behaviors, and strive to promote the financial culture with Chinese characteristics of "five wants and five noes", and cultivate a culture of rational investment, value investment and long-term investment.

The Shanghai Securities Regulatory Bureau has promoted the implementation of the rate reform requirements of Shanghai public fund managers, and the current existing active equity public funds in the jurisdiction have all completed the rate reduction, and will organize industry institutions in the jurisdiction to complete the commission rate reduction for the first time in stock trading. Actively carry forward the financial culture with Chinese characteristics of "five wants and five noes", guide the Shanghai Securities, Fund and Futures Associations to carry out the construction of industry culture, and guide industry institutions to establish correct business philosophy.

The third is to continue to intensify the crackdown on securities violations and violations. The Xiamen Securities Regulatory Bureau has thoroughly implemented the implementation plan for strengthening "zero tolerance" law enforcement, promoted the establishment of a comprehensive punishment and prevention system for combating counterfeiting and preventing counterfeiting in the capital market in its jurisdiction, improved the judicial coordination mechanism for securities law enforcement, and strived to improve the ability to find clues on violations of laws and regulations, and severely cracked down on illegal and infringing acts such as financial fraud, fraudulent issuance, capital occupation, and customer fraud. Since 2023, the Xiamen Securities Regulatory Bureau has hosted 13 cases of various types, imposed strict administrative penalties on 2 cases of financial fraud and financial "bathing" of listed companies, fined a total of 81.56 million yuan, and imposed a lifetime market ban on the actual controller of 1 company.

The Shanghai Securities Regulatory Bureau resolutely implements the requirements of supervision of "long teeth with thorns" and sharp edges and corners, and seriously investigates and punishes cases of false records of financial information such as Shanghai Phoenix, Taihe Water, and SIIC Development. Since the beginning of this year, a total of 22 parties have been subject to administrative punishment decisions, with a total of fines and confiscations exceeding 31 million yuan. At the same time, the Shanghai Bureau has strengthened cooperation with relevant departments of Shanghai Municipality to jointly weave a dense network of investor protection.

Fourth, we will continue to improve the diversified resolution mechanism for securities and futures disputes. The Asset Management Association of China actively practices the "Fengqiao Experience" in the new era, adheres to the principle of "putting the non-litigation dispute resolution mechanism at the forefront", actively uses mediation and other means to resolve disputes in a diversified manner in the process of complaint handling, promotes prevention at the source, substantively resolves disputes on the spot, comprehensively promotes the in-depth and practical governance of litigation sources in the fund field, and effectively protects the legitimate rights and interests of investors.

The Shanghai Securities Regulatory Bureau instructed the Shanghai Capital Market People's Mediation Committee to set up a mediation office for the local convenience of the people, signed the "Securities Business Dispute Mediation Cooperation Agreement" with 85 securities operating institutions, and since 2022, a total of 1,312 conflicts and disputes have been successfully mediated, and a settlement amount of about 43 million yuan has been reached. At the same time, the main operating institutions of the securities, funds and futures industries in the jurisdiction have been promoted to add "model clauses for advance mediation" to their business contracts, which has effectively saved judicial resources and achieved good social governance results. Promote the exploration of the use of the "model arbitral award + parallel case mediation" model in the field of stakeholder arbitration disputes, improve the efficiency of dispute resolution, and reduce the cost of investor rights protection.

The Xiamen Securities Regulatory Bureau has given full play to the dispute mediation function of the China Securities Mediation Workstation, and promoted the "model judgment + professional mediation", shareholder subrogation litigation, shareholder support litigation, representative litigation for securities disputes, advance compensation, and the parties' commitment to land and normalize in the jurisdiction, so as to more effectively support investors to obtain compensation and remedies, and enhance investors' sense of gain.

In terms of broadening the remedies for investors to protect their rights, the Xiamen Securities Regulatory Bureau urged the actual controller of a listed company that manipulated financial fraud to take the initiative to publicly promise to voluntarily replace the company to bear the civil liability of 80 million yuan, and provide equivalent stock pledges, which has become an innovative case in the capital market in which the actual controller actively promises to contribute capital to compensate investors.

Editor: Xiao Mo

Review: Muyu