China's Merging Stock Markets

China is facing daunting changes. It is set to join the World Trade Organization, is seeking to develop a new trade pact with the European Union, and must deal with pressing internal economic changes.

China's internal economic changes necessitate the need to consolidate the financial system. A step in that direction would be the merger of the Shanghai and Shenzhen stock exchanges.

As China faces globalization it must strengthen and streamline its securities markets. Consequently, authorities are discussing a plan under which stocks listed on the Shenzhen bourse will shift their listings to Shanghai. There is also a proposal for a second board for start-up companies to be opened in Shanghai. This idea has obviously been influenced by the revolution in start-up companies in the United States, as well as with the success of Hong Kong's Growth Enterprise Market.

The path to a single, regulated national stock market...

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222