Preparing for a More Liberalized Market

It is said that China is currently in a period of “shift of the growth, throes of restructuring and digestion of previous incentive policies”. The country is now slowing-down a little bit to adjust as well as build up some new infrastructure to facilitate its growth over the next few decades.

The third plenary session of the 18th Central Committee of the Chinese Communist Party and the set up and functioning of the Shanghai Free Trade Zone has reinforced to the domestic as well as international communities China’s determination on further economic reform and liberalisation. The connection of the Shanghai and Hong Kong stock markets was a major breakthrough in the capital market and ultimately is the beginning of the end of the renminbi’s lack of convertibility. Early 2014, the 14-month-freeze on IPO was been lifted. Whether the market is capable of digesting the new supply is still a question. Besides, the launch of options in important exchanges in the country can be regarded as a proxy of a more healthy and structured derivatives market.

China needs a mature financial market. One of the challenges faced is relaxing the control of funds. The Chinese central government has highlighted the importance of marketization in economic reforms, while more mid-level policies need to be designed by the financial sector to best implement decisions made by the central government.

The conference will bring both market participants and policymakers into a frank dialogue on the current financial market landscape in China and discuss where it is heading to, as well as impact on the global market.

Key topics include:

  • Upcoming policies on further economic reform and opening up in China
  • The launch of equity options trading in key exchanges
  • The evolving primary market in China: Implications for issuers
  • Shanghai FTZ: A new round of reform in China
  • Chinese commodity exchanges: pricing power
  • Collateral management practices in China
  • Further liberalization of China’s financial market

 


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