Do a good job of marketing the issue

GF Securities Gushaopo The CSRC 22nd on the "Further reform and improve the new issue system guidance (draft)" Public consultation, the guidance is the IPO implementation of the inquiry system has been another major reform.　　The reform of IPO system has always been a focus of market attention, from the angle of underwriter, the guidance of the reform of IPO system is to adopt the gradual reform, which seems to be not a lot of concrete content, which is to give the parties a time and space to find out the best solution of the reform of the issue. The IPO system refers to a series of systems and related arrangements for pricing, underwriting and offering of new shares in the initial public offering. The core of the IPO system is the pricing mechanism, which has two basic contents, one is to determine the IPO price, namely the price discovery, and the other is to sell the new shares to investors in a certain way. These two aspects restrict and depend on each other, constituting the core content of price formation mechanism.　　Underwriters play a central role in the pricing and sales of new offerings. For a new listed company, its share price is certainly the higher the better, so that the company can raise more money, and for investors, of course, the lower the issue is the better. The contradiction between supply and demand is coordinated by underwriters. The listed companies are finally willing to choose the securities brokers who can raise their financing and have a good reputation as their listed underwriting institutions. And the securities dealers must bear the issue price is too high to release the risk. In this way, the underwriting risk of the brokerage and its income are correspondingly combined. Underwriters get underwriting fees because it is underwriting the shares of new companies unfamiliar to potential investors, if the underwriters are biased about the company's attractiveness, or if it fails to make a proper valuation of the company's business, or if it fails to sell the company effectively to investors, the initial public offering fails, In the end underwriters must lose money to buy the shares.　　It can be seen that underwriters must have excellent pricing and sales capabilities. However, for a long time, the IPO market of China's a-share has obliterated the difference between underwriter's underwriting ability and pricing ability. The two most prominent phenomena are: underwriters "only to sell" and "light to hear not to say." On the one hand, because the rate is only a few thousand per cent, underwriters in the issue of new shares do not worry about the risk of sales, even in the 2008 years after the market decline (the current issue of new shares after 60% below the IPO price), the IPO is still hot, this is "only to sell.　　On the other hand, the IPO acceptance of market inquiry is an international practice, but because the underwriters lack the right to sell, high newspaper does not buy or low newspaper shoplifting phenomenon also has no strong checks and balances, this is "light listen not to say." One of the general ideas of the "guidance on further reform and improvement of the IPO system" (draft for soliciting opinions) is "to promote the responsibility of the market subjects such as issuers, investors and underwriters". Comments on the way: to improve the price of inquiry and purchase of the binding mechanism, the dilution of administrative guidance, strengthen the IPO risk prompt, clear hairMarket risk, increase the flexibility of underwriting and placing, strengthen buyer's binding to seller and underwriter's responsibility in issuing activities. These to change "only to sell" and "light listen not to say", has epoch-making significance--the market problem should be solved in a market-based way, as long as the positive attitude, will be able to do a good job of market-oriented issue.