Chapter 1422 [The trapped 'big brother' is anxious to get out of the trap]
After hearing this supplementary provision, Fang Hong nodded in approval and said: "This can be done. It fills a loophole. Everyone unanimously agrees. I also agree with filling this provision."
He also expressed his approval, so basically there is no suspense if this supplementary item is added.
Once the new regulations are officially implemented, in the future, issuers who want to register for listing will have to provide the market with a valuation quote that they think is reasonable for their company.
Some people may think that if the issuer is allowed to make its own valuation, then the price must be higher. But the problem is that once the issuer is found to have made a fraud or violated regulations, and then the company is forced to delist, it must follow the valuation given by the issuer.
Worth buying back shares from public investors.
Under this regulation, if an issuer wants to overestimate its company's valuation, but it knows its own company's situation best, it will not dare to make a blind valuation. Once it gives itself an unreasonably high valuation, it will inevitably lead to higher valuations afterwards.
If you are liquidated, you will lose everything.
Tian Jiayi thought for a while and said: "Just to add to this regulation, if the issuer itself reports a very low valuation for its company, will the market still be willing to give the company a high valuation?"
Hearing this, Fang Hong smiled and said: "Don't go to extremes. Political economics is not perfect, and market economics is not without merit. It still has the ability to discover prices."
Fang Hong added: "The company itself is really outstanding. If the valuation given by the issuer is low, the market can also find the price. If the valuation is low, it will rise; vice versa, if the company itself is not good, the valuation given by the issuer will
Even if it is high, it will also fall. The good thing about this regulation is to cultivate a rational understanding of valuation by corporate issuers and investors and promote the healthy development of the capital market."
The fundamental question is fairness, fairness, or just fairness.
Under such an operating mechanism, if the company itself is not a good product, the issuer will not dare to overestimate it, because then it will lose everything; if the company itself is very good, the issuer cannot underestimate it too much, because the valuation report is too high.
If it is too low, when raising the same amount of funds, the issuer will either provide more equity or take less money, and it will definitely not be happy with a transaction that is obviously a loss.
All in all, as the rule-setter of this field, we must set the rules and eliminate loopholes. The rest is left to the market itself to discover prices and reflect them in asset prices.
…
The next day, Monday, February 11th.
The first trading day of the Lunar New Year has arrived as expected, and today the three major A-share indexes collectively rose sharply.
Among them, the almost forgotten ChiNext Index soared as much as 8.52% today, returning to the 1,000-point mark. Many sectors rose during the session, and theme stocks performed very actively, with a 100-share daily limit trend.
The GEM Index has also been hotly discussed by big A investors.
In Fang Hong's previous life, the GEM index reached its lowest point at the end of 2018 at 1184 points. However, this index fell below 800 points two years ago, which is quite tragic. The entire GEM index's trading volume throughout the day was 1,184 points.
It maintains around 20 billion, sometimes even less than 20 billion, and almost no one plays anymore.
Today's surge of more than 8 points is due to the wild rumors yesterday that the two cities next door are also going to issue new delisting regulations.
Then a large number of stock investors were also confused, saying that they could not understand the logic of the two markets next door. Logically speaking, the news that went viral should be good for small start-ups and good for blue chips. Although big blue chips are also there.
has risen, but small and medium-sized enterprises have obviously skyrocketed harder and crazier.
The GEM index and the small and medium-sized board index both soared to an increase of 8 points.
This is all driven by the news that is currently going viral. It is rumored that the new delisting regulations require delisting compensation and repurchase based on fair value assessment by a third-party agency.
In the past three years since the listing of the SGX, especially since 2018, the decline of small and medium-sized enterprises has really been too miserable. The GEM index once fell below the initial value of 1,000 points, which shows how tragic it is.
And there is news that if the delisted stocks are repurchased according to the fair value assessment conducted by a third-party organization, many stocks on the GEM next door are now seriously oversold.
For example, there is a GEM stock with a current market value of 1.6 billion. However, if this company is delisted and evaluated based on fair value, it can actually be worth 3 billion. If you buy the stock at the current market price, it will be stable.
Earning more than 80 points of profit is simply giving away money.
Therefore, similar companies were heavily bought by funds today, and many seriously oversold stocks have reached their daily limit.
But there is a very critical question, that is, have the performance of these stocks of small and medium-sized companies next door been falsified? Have they inflated their performance? Have they whitewashed their performance?
For example, for that GEM stock with a current market value of 1.6 billion, the figure that it can be worth 3 billion based on fair value assessment is based on the premise that the company's performance report is waterless. If it is an inflated increase in performance, it is whitewashed.
According to the financial statements, the company has actually been hollowed out for a long time, and the fair value derived from the last evaluation was only 10 million.
Good guy, I am now ambushing you when the market value is 1.6 billion. When the time comes, you will directly lose -99.37%%. After buying it for 1 million, I will only have 6,300 yuan left.
But the actual situation is that the vast majority of small and medium-sized retail investors do not have the ability to distinguish performance, and do not know whether the performance is a true reflection. They only think that the small and medium-sized startups next door have an opportunity to pick up money, and they can pick up money by bending down.
So many people come to grab it. Even if some people think there are pitfalls and risks, they still think it has fallen like this. Where can it fall? And they think they may not be the one to take the last shot.
In fact, this rumor is not a coincidence.
But there are some "big brothers" who are really trapped. They have no liquidity and can't get out even if they want to cut off their flesh and blood. The small and medium-sized startups next door are about to become H-shares. Even penny stocks have begun to appear. With just a few hundred thousand dollars, they can hit a hole.
come out.
This chapter is not over yet, please click on the next page to continue reading! This has really made some "big brothers" who are trapped in misfortunes so anxious that they have to find a way out of the trap as soon as possible. After thinking about it, I want to see the SGX market
The news about the new delisting regulations gave these "big brothers" some ideas. Seeing that investors were so excited and supportive of this matter, they came up with ideas.
This is how this rumor came about, and it created an opportunity to attract money to attract funds. Moreover, the time point now has reached the time when the annual report is pre-disclosed. If you cooperate with the annual report hype, you can make a fortune quickly. set.
Those financial rentiers also know that if they delay further, they will really have no chance to get out of trouble.
They also know that even if Fang Hong sees through it, he will not mess with them, because the two sides have reached a tacit consensus since the mid-lane confrontation. You play your game, don't mess with me, and I won't mess with you if I play mine. .
The superiors also told Fang Hong not to interfere next door. The key point is to improve the SGX market. And Fang Hong has indeed not provoked those people since then as long as they don't come to provoke them. There really wasn't any conflict at all.
But Fang Hong also silently set up nets and dug holes overseas, waiting for these people to get out before cutting them off.
Judging from today's market conditions, many retail investors have indeed jumped in. Retail investors are interested in their profits, and they are interested in their principal.
There is a high probability that retail investors who follow now can make money, but when a trend of speculation arises, there will always be someone who takes the last step and pays for the people in front.
Fang Hong also chose to sit on the sidelines. These retail investors who participated had nothing to say if they were cut off. They were not satisfied with the SGX market and could participate in ETFs. They did not deserve sympathy if they stepped on the thunder.
As the market closed, the three major A-share trading markets all surged on the first trading day after the holiday.
The NSE 50 Index hit another record high and reached the 4,700-point integer mark in one fell swoop. It closed up 1.70% after the market closed at 4,705.55 points; the Shanghai Composite Index closed up 1.36% at 2,653.90 points, and the Shenzhen Component Index rose 3.06% to 7,919.05 points. .
The total trading volume of the three major markets increased to 1,186.2 billion, of which the SGX market's full-day turnover was 866.3 billion, which was higher than the previous trading day.
