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...
