The Analysis of Function and Operation of Financing Security in China

The transaction of financing security which has been brewing for five years was formally launched in March 31, 2010, it is a significant milestone day for the development of Chinese financial market. This also marks the epoch of depending upon merely unilateral going long make money for twenty years was terminated in our country's stock market. But as the transaction of margin purchase and short sale has been preceded half a year, the response of market is quieter than anticipation; the trades of stocks are far less than finance, the proportion of development out of balance serious, the positive role of financing security for stock market was not played. There are many reasons for this situation, it have a relationship with history, system and law of our country's market. Meanwhile, we are exploring the solution of present problem.