CSRC Chairman Meets Investors, Outlines Priorities for Market Development

On the morning of July 20, a significant investor symposium held at a Beijing securities branch offered insights into the regulatory roadmap for China's capital markets. CSRC Chairman Wu Qing engaged in a direct dialogue with eight investors representing diverse profiles, with discussions centered on fostering stable and healthy market growth.

Investor Perspectives: Recognizing Progress, Proposing Action

Participants at the meeting acknowledged that the market has generally shown steady improvement since the implementation of the new "National Nine Articles." While recent volatility, partly driven by external risks, has impacted A-shares, the fundamental policy and innovation drivers remain intact. The consensus was that short-term fluctuations do not alter the long-term positive trajectory.

Building on this view, investors presented key recommendations that address current market priorities:

  • Enhance Counter-Cyclical Adjustments: Coordinate policies across primary and secondary markets to mitigate volatility.
  • Attract Long-Term Capital: Implement diversified measures to guide mid-to-long-term funds, such as insurance and pension money, into the market.
  • Regulate New Trading Practices: Establish clear regulatory frameworks for quantitative trading and the application of artificial intelligence in investing to ensure orderly development.
  • Boost Returns and Deterrence: Encourage listed companies to increase dividend payouts and significantly raise the cost of securities-related violations.

Regulatory Commitment: Investors as the Foundation, Multi-Pronged Reforms

In his response, Chairman Wu Qing emphasized that investors are the cornerstone of the capital market. The CSRC's focus is ensuring investors can better share the fruits of high-quality economic and market development.

To achieve this, the regulator will advance work on multiple parallel tracks:

  • Integrated Risk and Oversight: Simultaneously advance risk prevention, strengthened supervision, and high-quality development to maintain stable market operations.
  • Elevate Listed Company Standards: Focus on improving corporate transparency and authenticity, with the core aim of delivering better returns to investors.
  • Strengthen Intermediary Accountability: Urge securities firms, fund managers, and other institutions to operate compliantly and enhance their investor services.
  • Fortify Protection Mechanisms: Continuously improve long-term investor protection systems and resolutely uphold fair, just, and open market order.

The symposium served not only as a forum for feedback but also as a clear signal of policy direction. Markets anticipate more detailed follow-up measures, particularly regarding attracting long-term capital and regulating quant and AI-driven trading.