Shanghai Stock Exchange : Boosting capital market by improving investors' rationality

Shanghai Stock Exchange : Boosting capital market by improving investors' rationality

13/12/2011

To further deepen the education for investors and to strengthen the ranks of rational investors, the Shanghai Stock Exchange (SSE) has joined hands with leading securities companies to make every effort in building the online investors' school this year. As a fruit of the first phase of the online school, 67 episodes of video programs of elementary and intermediate courses for small and medium-sized investors have recently been put online for the investors' self-study by free logging on to the SSE's website for investors' education (http://edu.sse.com.cn). Meanwhile, the program will be aired repeatedly in the brokerage houses across the country through the broadband broadcasting satellite system of Shanghai Stock Communication Co., Ltd. to achieve the sharing of educational resources for investors in the industry. In the future, the online school will also seek to work with the mainstream online media to provide convenience for more investors by airing online educational videos and courseware on relevant websites.

According to the plan, composed of individual education center, institutional education center, examination and accreditation center, education promotion center and teaching and scientific research center, the SSE Online Investors' School is mainly designed for the individual investors and the personnel of the market institutions such as securities companies with the aim of constantly expanding the ranks of rational investors by providing systematic education and training for investors with the online teaching as the main form and mainly on the basis of the online platform for investors and the system of online training, examination and accreditation. Among them, the individual education is designed for the basic education on stock market and the education on access to relevant market businesses for individual investors; the institutional education is designed for institutional investors such as securities companies in the training in the access to relevant market businesses, the supportive training in the professional qualification and the training in new products and new businesses; the examinations and accreditation are organized for the examinations on relevant market access and the qualification accreditation for the investors; through the education promotion, the coverage and the influence of the investors' education will be enhanced by making long-term and systematic investors' educational plans and carrying out activities including "securities summer camp", "campus tour" and "community tour"; in the teaching and scientific research, online courses will be developed, text books and question banks will be compiled, the online resources will be maintained and updated, and the management of distance education, teacher training, subject research and the development of the information products for investors' education, etc. will be conducted.

According to an SSE official, the SSE has always attached importance to investor education, giving full play to the advantage as an organizer, a manager and a front-line regulator of securities trading, integrating the investor education with the system construction, front-line supervision, market innovation, industry self-regulation and complaints handling according to the guideline of "the integration of the education, protection, supervision and service for investors", constantly deepening the "Six Ones" project for investor education and sparing no efforts in improving the investors' ability in self-protection, fostering the ranks of rational investors and promoting the sound and stable development of the capital market. The launching of the online school is one of the important initiatives for deepening the investor education by the SSE.

According to the sources, the first phase online part of the online school includes the 2,000-minute elementary and intermediate video courses for individual investors, covering the basics of the stock market, the basics of stocks, basic knowledge of derivatives, introduction to laws and regulations on securities, investment analysis of funds and derivatives, industry analysis of listed companies, information disclosure of listed companies and refinancing of listed companies, etc., with the experts from 21 securities companies including CITIC Securities, Guosen Securities, GF Securities, Guotai Junan Securities, Shenyin & Wanguo Securities, China Galaxy Securities, Ping An Securities, and Central China Securities as lecturers.

In the future, the SSE will continue to promote the construction of the online investors' school and launch the follow-up courses and other sections in batches, in the hope of further strengthening the SSE's role in investor education and better supporting the development of the capital market through the platform. On the one hand, the effective link-up of the education and training for the investors and the qualification accreditation will be explored on the basis of the training courses featuring abundant contents and distinctive levels. For individual investors, the different teaching materials and online courseware and question banks for elementary, intermediate and advanced levels will be provided and the corresponding one-, two- and three-star accreditation examinations will be organized to provide support for the securities companies' management in the investors' market access to relevant businesses; for institutional investors, in addition to access training, the auxiliary training for the qualification of the professional personnel, especially the training in new products and new rules and the training in career development, will also be provided to help improve the trainees' professional ability and foster and strengthen the ranks of the professional investors on the SSE. On the other hand, the integration of the investor education and the national education will be promoted with the orientation toward fostering potential qualified investors. In recent years, the institutions including the SSE and the people concerned have been calling for listing the investor education into the system of the national education. To this end, the SSE Online Investors' School will actively cooperate with schools and communities to popularize the knowledge in securities investment in the forms of students' summer camps, teacher training, mock trading, securities salon and securities exhibitions, in a bid to make contributions to promoting the national education in investment and wealth management and improving the public's capability in managing their wealth.

On the occasion of the launching of the online investors' school, the renowned experts in the industry expressed their hopes and congratulations, giving high recognition to the initiative of the SSE. Director Yu Zhonghua of Everbright Securities Research Institute said, "The online school organized by the SSE features flexible forms, a wide range of trainees, high relevance, updated teaching materials, reasonable and compact layout and the explicit explanations." Chief Economist Yang Chengzhang of SWS Research Co., Ltd. said, "The establishment of the online school is in response to and meeting in a forward manner the market demands, and provides the investors with a long-term, systematic and professional study platform and opportunity." Presenting sincere hopes for the online school, the securities sector extends best wishes for a better future of the school to act as a bridgehead in investor education.