Beijing Stock Exchange Officially Launches With 81 Companies Participating in Trading

The newly-established Beijing Stock Exchange (BSE) started trading on Monday. Among the first batch of 81 companies listed on the new bourse, 10 are new stocks and the remaining 71 have been transferred from the Selected Layer of National Equities and Exchange Quotations (NEEQ). According to BSE, except for the first day of trading, the 71 transferred stocks will continue to implement a 30% price increase or decrease limit.

Starting on Monday, this first batch of companies will now see their shares traded on the bourse. These listed companies fully reflect the BSE’s market positioning of innovative small- and medium-sized enterprises. Covering 25 major industries of the economy, the firms come mainly from sectors like advanced manufacturing, high-tech services and strategic emerging industries.

In addition, on November 12, the BSE issued a guidance document, which pointed out that listed companies should not be engaged in preschool education, discipline training or financial, real estate sector. At the same time, the listed companies’ production and operation shall conform to China’s industrial policy, and shall not belong to industries with overcapacity (the identification shall be subject to the national regulations) or industries to be eliminated from the country’s economy.

Peng Hai from Kaiyuan Securities, told Economic Information Daily that the BSE is positioned to serve innovative small- and medium-sized enterprises, which can make up for the shortcomings of the capital market and enable more enterprises to benefit from the services of the capital market.

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According to the official website of the BSE, as of November 12, over 2.1 million new investors have applied to become qualified investors. The total number of eligible investors will exceed 4 million after the bourse starts trading.

According to public information, all the preparatory work before the launch of the BSE has been completed, and its system rules, institutional setup, technical system and entire network tests have been successfully completed.