The 2026 Lujiazui Forum opened in Shanghai today. At last year's forum, the China Securities Regulatory Commission (CSRC) introduced the "1+6" policy package to deepen reforms of the Science and Technology Innovation Board (STAR Market). In the year since its release, 59 companies have applied for IPO listings on the STAR Market, including 24 unprofitable enterprises, accounting for over 40% of the total. To date, the Sci-Tech Innovation Board's Growth Layer has included 32 existing unprofitable companies and welcomed 8 new unprofitable listings. Furthermore, 37 new STAR Market ETFs have been listed during this period, bringing the total to over 120 with an aggregate scale of approximately 240 billion yuan, of which nearly half is held by various medium- and long-term funds, indicating a growing presence of "patient capital."
At the forum, CSRC Chairman Wu Qing delivered a keynote speech titled "Further Improving the Coordinated Investment and Financing Functions of the Capital Market to Better Serve New Quality Productive Forces and High-Quality Economic Development." Wu Qing stated that the CSRC will continue to deepen reforms of the "Two Innovation Boards." In the near term, two reform measures will be promptly introduced for the STAR Market. First, the scope of the fifth set of listing criteria will be expanded to include the artificial intelligence sector, actively supporting high-quality large AI model companies to go public. Second, to implement the strategic deployment for developing future industries, support will be extended to "hard tech" companies in more sectors such as quantum technology, bio-manufacturing, and embodied intelligence for listing on the STAR Market.
It is noteworthy that recently, embodied intelligence companies like Unitree Robotics have passed listing reviews for the STAR Market. Additionally, AI large model company MiniMax has initiated A-share listing preparations, and Zhipu AI is also targeting an A-share listing, with both aiming for the STAR Market.
Furthermore, Wu Qing pointed out that regarding investment-side reforms, imminent tasks to be advanced include supporting the launch of active ETFs on the Shanghai and Shenzhen stock exchanges and initiating pilot programs for commercial real estate REITs.
In his remarks, Wu Qing noted that the new "National Nine Articles" for the capital market, issued in April 2024, reshaped the market's foundational systems and regulatory logic. Over the more than two years since implementation, with coordinated efforts from multiple parties, nearly 70 supporting policies have been enacted, leading to significant achievements in capital market reform and development.
Moreover, market stability has continued to strengthen. Relying on mechanisms such as structural monetary policy tools and the entry of medium- and long-term funds, holdings of A-share circulating market capitalization by long-term funds like social security and insurance have grown by 85% over the past two-plus years, with net purchases of A-shares reaching approximately 1.3 trillion yuan. Simultaneously, regulatory enforcement has been rigorous and substantive, improving the entire chain of capital market regulatory systems covering issuance, listing, continuous supervision, delisting, institutions, and trading. Over the past two-plus years, 1,358 cases have been investigated and handled, with fines and confiscations totaling 35.3 billion yuan. The quality of listed companies has steadily improved, with A-share dividend payouts and share buybacks over the past two-plus years exceeding three times the scale of equity financing during the same period, and corporate governance systems have been continuously optimized.
Notably, in recent years, the capital market has consistently enhanced its effectiveness in serving the development of new quality productive forces. Wu Qing indicated that as the capital market deepens its sci-tech innovation reforms and implements multiple innovative measures, the market value of the technology sector in the A-share market now exceeds 30%, with technology firms accounting for 45% of listed companies valued at over 100 billion yuan. Currently, the safety value, resilience value, and innovation value of Chinese assets are garnering widespread attention and favor from international investors. Efforts will continue to consolidate the market's stable and positive trajectory, promoting the long-term investment value of the capital market.
This year, supporting technological innovation through the capital market has been one of its core themes. At today's forum, Wu Qing stated that the current new wave of technological revolution, represented by artificial intelligence, is integrating into production and daily life at an unprecedented pace, leading development transformation. Major global capital markets are accelerating reforms to better adapt to innovation needs and seize developmental opportunities.
Wu Qing expressed that the CSRC will adhere to the principles of seeking progress while maintaining stability, improving quality and efficiency, and accelerating the promotion of high-quality development based on risk prevention and strengthened regulation. By addressing challenges through reform and invigorating the market through innovation, the focus will be on effectively advancing the financial support for technology, better driving the deep integration of technological and industrial innovation, and more effectively serving the construction of Chinese modernization and a strong financial system. Specific measures include the following:
Ongoing Reform of the Innovation Boards
The STAR Market and the ChiNext Board are crucial platforms for the capital market to serve the development of new quality productive forces. With the deepening of board reforms in recent years, the scale, functionality, and influence of the "Two Innovation Boards" have continued to grow. Currently, the combined number of listed companies exceeds 2,000, with a total market capitalization surpassing 35 trillion yuan, forming cluster effects in sectors such as new energy, integrated circuits, biomedicine, and high-end equipment manufacturing. In the near term, two reform measures will be promptly introduced for the STAR Market. First, the scope of the fifth set of listing criteria will be expanded to the artificial intelligence field, actively supporting high-quality large AI model companies to go public. Second, to implement the strategic deployment for developing future industries, support will be extended to "hard tech" companies in more sectors such as quantum technology, bio-manufacturing, and embodied intelligence for listing on the STAR Market. Concurrently, reforms to deepen the ChiNext Board will be advanced in an orderly manner, increasing support for new consumption and modern service industries to better serve the development of growth-oriented innovative and entrepreneurial enterprises.
Strong Support for M&A and Refinancing of Listed Companies
First, further stimulate the vitality of mergers and acquisitions. Utilize and optimize the rapid review mechanism for M&A, actively address bottlenecks and obstacles in the implementation process, promote the optimization of relevant M&A policies, reduce transaction costs, and support listed companies in sustaining growth, transforming and upgrading, and strengthening supply chains. Second, deepen refinancing reforms. In early February this year, the Shanghai, Shenzhen, and Beijing Stock Exchanges implemented a package of measures to optimize refinancing, emphasizing the "support for excellence and science" orientation. Some high-quality listed companies have efficiently achieved financing, with review times of less than one month. The CSRC will expedite the revision of institutional rules such as the "Administrative Measures for the Registration of Securities Issuance by Listed Companies" and accelerate the introduction of mechanisms like shelf offerings to further enhance flexibility and convenience. Third, support eligible Hong Kong-listed companies for listing in the domestic market. Recently, some enterprises have expressed such demands. The CSRC will provide support in accordance with regulations to better promote the interconnected development of the two markets.
Accelerated Cultivation of Patient Capital
Influenced by the convergence of multiple positive factors, the fundraising, investment, and exit activities of private equity and venture capital funds have gradually warmed and improved this year. The CSRC will collaborate with relevant parties to actively broaden funding sources, support the complementary advantages of state-owned funds and social capital, guide pension funds, insurance funds, and others to increase equity investment, and further facilitate the "fundraising-investment-management-exit" cycle. Simultaneously, prioritizing standardization, the CSRC will earnestly implement the "Guiding Opinions on Strengthening Supervision, Preventing Risks, and Promoting High-Quality Development of Private Investment Funds" issued by the General Office of the State Council, expedite the establishment of a "1+N+X" institutional system covering market access, continuous supervision, risk resolution, and service development, and promote the industry's development through standardization and enhancement through development.
Further Enrichment of Investment Products and Tools
Regarding investment-side reforms, the following will be promptly advanced in the near term: First, support the launch of active ETFs on the Shanghai and Shenzhen stock exchanges. Aligning with global market trends, the approach will be to pilot first, proceed step by step, and strictly prevent risks, better meeting residents' diversified wealth management needs. Second, launch pilot programs for commercial real estate REITs. Tomorrow, the first batch of four projects will be listed on the Shanghai Stock Exchange. The principle will be to start steadily and develop stably, providing momentum for optimizing incremental assets and revitalizing existing stock, while also offering new options for investors' major asset allocation. Third, introduce a package of measures to support the standardized and healthy development of small and medium-sized fund companies. Adhering to categorized supervision and highlighting distinctive features, appropriate support will be given in areas such as product layout and business access, actively fostering the differentiated development of small and medium-sized fund companies.
Continuous Enhancement of Regulatory Effectiveness and Adaptability
While enhancing institutional inclusiveness and increasing the market's "tech" content, the CSRC will continuously improve the technological and intelligent level of supervision, refine regulatory mechanisms across all stages including market access, continuous supervision, and exit, and strictly investigate and penalize illegal activities such as hyping hot topics or concepts under the guise of technology, and even market manipulation and insider trading. In recent years, the application of artificial intelligence in the capital market has rapidly expanded, bringing new challenges alongside deep empowerment. The CSRC will balance development and security, issue guidelines for the standardized development of AI in the capital market at an appropriate time, enhance the safety and reliability of technological applications in key scenarios such as investment research and customer service, legally and strictly crack down on irregularities like illegal stock recommendation, rumor-mongering, and illicit trading using AI, and promote the proper and effective use of technological power.
In recent years, both "investing in China" from abroad and "Chinese investment" going global have continuously expanded in breadth and depth, presenting higher requirements for deepening high-level two-way opening of the capital market.
In his speech, Wu Qing stated that the approach will be to use opening-up to promote reform and development, further coordinate openness and security, continuously enhance the convenience of cross-border investment and financing in the capital market, and steadily increase the efficiency and capability of global resource allocation.
Focus on Enhancing the Appeal and Competitiveness of the Open System
Accelerate research and promotion of the pilot program for RMB foreign exchange futures, a significant institutional and product innovation to address exchange rate volatility risks and support the international development of enterprises. The CSRC will collaborate with the People's Bank of China to guide the China Financial Futures Exchange in solidly preparing foundational work such as contract rule design, regulatory risk control arrangements, and technical system readiness to ensure the smooth launch of the pilot. Simultaneously, implement and refine the optimization plan for the qualified foreign investor system, promote the smooth and orderly participation of QFIIs in domestic treasury bond futures trading, and support Hong Kong in launching the listing and trading of 5-year RMB treasury bond futures in the near term. The CSRC will also actively support foreign capital in establishing new wholly-owned or joint-venture securities, fund, and futures institutions in China, encourage licensed foreign institutions to participate in the expanded pilot of fund investment advisory services, and better facilitate business operations and growth in China.
Focus on Strengthening Cross-Border Regulatory Collaboration
Recently, the CSRC, in conjunction with relevant parties, resolutely investigated and addressed issues such as illegal cross-border business operations by certain institutions. Licensed operation is an internationally recognized rule and a fundamental requirement for protecting investors' legitimate rights and interests. The CSRC targets illegal cross-border business operations, while supporting investors' lawful and compliant cross-border investment activities. Moving forward, efforts will be made to further promote the improvement of cross-border regulatory coordination mechanisms, strengthen routine information sharing and market communication, open the right channels and block improper ones, supporting legal and compliant cross-border investment and financing activities while cracking down on various cross-border illegal activities according to law, effectively maintaining normal market order and protecting investors' legitimate rights and interests.
Focus on Enhancing Capabilities for Deep Participation in Global Financial Governance Reform
Earnestly implement the Global Governance Initiative, strengthen practical cooperation with bilateral and multilateral regulatory bodies, support the International Organization of Securities Commissions in advancing its internal governance reforms, and actively participate in policy research, rule-making, and regulatory coordination concerning issues of common interest such as maintaining global financial stability and enhancing the operational resilience of capital market infrastructure, as well as key topics like artificial intelligence, green development, and digital assets, contributing Chinese strength to the improvement of global financial governance.
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