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Supervision and Administration of a Stock Exchange over Securities Trading Activities

Article 30 A stock exchange should formulate specific trading rules. Their contents shall include:

  1. types and duration of the securities to be traded;
  2. modes of securities trading and the operational procedures;
  3. the acts prohibited in securities trading;
  4. settlement clearing matters;
  5. resolution of trading disputes;
  6. suspension, resumption and cancellation of trading of listed securities;
  7. opening, closing, and resting of the stock exchange and handling of abnormal circumstances;
  8. mode of collectionand rates of service charges and other related fees in trading;
  9. provisions on the handling of acts in violation of the trading rules;
  10. provision and management of the securities trading information of the stock exchange;
  11. compilation method and mode of publication of stock price indices, and
  12. other matters that require to be stipulated in the trading rules.

Article 31 A stock exchange should publish the current/immediate quotations and make daily a securities quotations table recording the following particulars which shall be announced in appropriate ways:

  1. names of the listed securities;
  2. the opening, highest, lowest and closingprices;
  3. the rise and fall in comparison with the closingprice of the preceding trading day;
  4. separate calculation and total calculation of the volume and value of transactions made;
  5. stock price indices and their rise and fall; and
  6. other matters CSSCC requires to be made public.

Article 32 A stock exchange should compile a daily statement, a weekly statement, a monthly statement and an annual statement on the transactions effected in its market which shall be released to society in time.

Article 33 A stock exchange should work out detailed provisions in the business rules on the terms of coming into force and annulment of a securities transaction contract and safeguard the validity of the securities transaction contracts concluded in the stock exchange.

Article 34 A stock exchange should guarantee that investors have equal opportunity to obtain the trading quotations and other publicly disclosed information in the securities market and have equal opportunity in trading.

Article 35 A stock exchange has the power to suspend or resume the trading of the listed securities pursuant to relevant provisions. When the time of suspension of trading exceeds one trading day, a report should be submitted to CSSCC for the record, when the time of suspension of trading exceeds five trading days, a report shall be submitted to CSSCC in advance for approval.

CSSCC has the power to ask a stock exchange to suspend or resume the trading of the listed securities.

Article 36 A stock exchange should establish the market access system and restrict or prohibit the securities trading acts of particular securities investors in accordance with the provisions of securities regulations or the requirements of CSSCC.

Except for the above-mentioned circumstances, a stock exchange must not restrict or prohibit the acts of securities buying or selling by securities investors.

Article 37 A stock exchange and its members should put in safekeeping the materials of entrustment, the trading records and settlement papers from the securities transactions, and formulate corresponding search and secrecy control measures.

A stock exchange should determine the duration of safekeeping of the above-mentioned documents in accordance with the requirements and submit it to CSSCC for approval. The duration of safekeeping of important documents should not be less than 20 years.

Article 38 A stock exchange should guarantee the conscientious implementation of its business rules and handle the acts in violation of the business rules in time.

A stock exchange shall bear the responsibility of uncovering, curbing and reporting the acts in violation of laws and regulations relating to securities trading prescribed in relevant state laws, regulations, rules and policies, and has the power to investigate and deal with them within the scope of responsibilities.

Article 39 A stock exchange should establish a computer system conforming to the requirements of securities market supervision and control and real time monitoring, and establish a specialized agency for securities market supervision and control.

CSSCC may ask the stock exchanges to establish information exchange systems and joint supervision and control systems for the purpose of market supervision and control among them for the joint supervision and control of trans-market improper trading acts and control of market risks.

 
 
 
   
 
 
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