The Shenzhen Exchange

One of the main stock exchanges in China

Serious Information

Trivia

based in Shenzhen, China.

The Shenzhen Stock Exchange (the SSE) is a mutualized national stock exchange under the China Securities Regulatory Commission (the CSRC), that provides a venue for securities trading. A broad spectrum of market participants, including 540 listed companies, 35 million registered investors and 177 exchange members, create the market. Here buying and selling orders are matched in a fair, open and orderly market, through an automated system to create the best possible prices based on price-time priority.

Since its creation in 1990, the SSE has blossomed into a market of great competitive edges in the country, with a market capitalization around RMB 1 trillion (US$ 122 billion). On a daily basis, around 600,000 deals, valued US$ 807 million, trade on the SSE.

The Shenzhen Exchange launched a blue chip composite index in January 95. It also directed a subsidiary, the Shenzhen Securities Information Co, to launch a Shenzhen Stock Exchange 100 Index on a first trading session of 2003, using 2002's final day of business.

The initial public offering (IPO) activity in Shenzhen stock exchange was suspended from September 2000 as the Chinese government pondered merging its bourses into a single exchange in Shanghai and launch a Nasdaq type second board in Shenzhen aimed at private and technology companies.

Capitalization is a problematic concept in the market. Most of the companies within this market belong to state owned enterprises (SOEs) in which the Chinese government maintains controlling interest. With regards to SOE's, the government has viewed stock markets as a means of raising capital, but there is no current interest in privatization or selling off the state controlling interest in the SOE's. One difficulty is on if the Chinese government is willing to privatize SOE's, the flood of shares on the markets would likely lead to a sharp drop in prices.

http://www.sse.org.cn/ is the website of the exchange it offers advice and information on Market Data Rules and Regulations and on the SME Board

As commitment to its WTO obligations, China speeds up market deregulation. Increasing foreign investments are being channeled in. Sino-foreign securities houses and fund managing companies are set up and continue to add in number. So far, 39 qualified foreign institutional investors gain access to the market, with authorized investment quota of US$6 billion.

As a full member of the WFE and AOSEF, the SSE has been playing an active role in the-world exchange community. The SSE has signed cooperative memorandum of understanding with exchanges worldwide, including Tokyo Stock Exchange, Korea Exchange, Australian Stock Exchange, Singapore Exchange, London Stock Exchange, Toronto Stock Exchange, Osaka Securities Exchange, Berlin Stock Exchange, National Stock Exchange of India, Chicago Board Option Exchange and Chicago Mercantile Exchange, with an aim of mutual benefits and development.

Trivia

Shenzhen is a sub-provincial city of Guangdong province in southern Mainland China, 4.5 million (2005

The one-time fishing village of Shenzhen, singled out by late Chinese paramount leader Deng Xiaoping, is the first of the Special Economic Zones (SEZ) of China. It was originally established in 1978 due to its proximity to Hong Kong, then a prosperous British colony. The SEZ was created to be an experimental ground of capitalism in communist China. The location was chosen to attract industrial investments from Hong Kong since the two places share the a language, dialect and culture. The concept proved to be a great success, propelling the further opening up of China and economic reform. Shenzhen eventually became one of the largest cities in the Pearl River Delta region which is one of the economic powerhouses of China

address and phone
Shenzhen Stock Exchange

Address:5045 Shennan East Road, Shenzhen, China 518010

E-mail:cis@szse.cn

Links on websites on subject

http://www.ise.ie/index.asp The home page of Irish stock exchange

http://www.nasdaq.com/ The homepage of the stock exchange

http://www.cityequities.com/
http://www.moneyweek.com

government_bond information

N_a_s_d_a_q

pronounced "NAZDAK"
Other Lonympics sites