On June 21, Shenzhen Stock Exchange (SZSE) launched its first batch of infrastructure public offering REITs. It is another achievement of the capital market in the reform and innovation and a milestone in the development of the capital market, filling in a gap of China in the main category financial product. To convene the launching ceremony in a smooth and orderly way, SZSE strictly followed the latest requirements on epidemic prevention and control to safeguard the site. At the ceremony, those who delivered speeches via video or on site included Vice Mayor of Beijing Yin Yong, Executive Vice Mayor of Guangzhou Chen Zhiying, Vice Mayor of Shenzhen Ai Xuefeng, Director of Dept. of Corporate Bond Supervision of China Securities Regulatory Commission (the CSRC) Chen Fei, Deputy Director-General of the Department of Fixed Asset Investment of National Development and Reform Commission (NDRC) Han Zhifeng, and Chairman of Supervisory Board of SZSE Yang Zhihua. Participants included guests and representatives from the NDRC, State-owned Assets Supervision and Administration Commission of the State Council, the CSRC and its regional offices, relevant government agencies of Beijing, Guangdong and Shenzhen, local financial regulators, market institutions and news media. They attended the ceremony via online channels or in person. The Chairman of SZSE Wang Jianjun, leaders, and heads of relevant departments were present at the ceremony personally to witness this landmark moment.
The smooth running of infrastructure public offering REIT pilot project is a critical initiative to implement the decisions and plans of the CPC Central Committee and the State Council in the capital market, a great achievement in advancing the comprehensive reform of building the pilot demonstration area of socialism with Chinese characteristics, and a significant arrangement for actively serving the building of the demonstration area and Guangdong-Hong Kong-Macao Greater Bay Area and deepening capital market reform. It is of great significance for furthering the financial supply-side structural reform, increasing the share of direct financing, expanding investment channels for social funds, and improving the quality and efficiency of finance in serving the real economy.
As a platform carrying out asset-backed securitization business and facilitating the innovation of REIT products, SZSE has always highly valued the development and exploration of REIT products. After years of efforts, a large-scale featured private offering REIT market has taken shape. It covers a wide range of immovable property types, forms a strong leading effect in the market, and involves extensive investors, fostering a favorable environment for the public offering REIT pilot project. Since the beginning of the pilot project, SZSE has proactively sought opportunities in building the "two demonstration zones" and implementing the comprehensive reform, taken stability as a priority and made progress while maintaining stability, and spared no efforts in preparing for all tasks with the guidance of the CSRC and NDRC and under the support of and cooperation with local governments and market institutions. SZSE has also published business rules in a well-timed manner, standardized business processes like review and placement, listing and trading and ongoing regulation, completed the transformation and commission of the technical system, strengthened technical guarantee, conducted investor education and training on all fronts, and raised the awareness for development, in an effort to forge a selected project for the reform.
Getting on a new start point, SZSE will continue to follow the guidance of Xi Jinping Thought on Socialism with Chinese Characteristics for a New Era, have an accurate understanding of the new stage of development, fully apply the new development philosophy, and aggressively serve the creation of a new development pattern. Earnestly following the principle of “system building, no intervention, zero tolerance”, we will fulfill the requirements of revering the market, revering the rule of law, holding high professionalism, staying alert to risks, and obtaining support from various parties. We will do our best to perform well in the launching and trading, information disclosure, ongoing regulation, risk control and other aspects of the first batch of infrastructure public offering REITs while maintaining an open-minded, transparent, honest and strict work style. We will also draw lessons from the pilot project timely, continue to improve supporting rules, provide considerate project access services, develop diverse investor groups, and maintain the long-term and sound development of public offering REIT market practically. In addition, we will endeavor to build into a global asset allocation platform featuring innovation, a high-quality innovative capital hub and a world-class exchange, and play to the full the role as a hub of the capital market. With better services for the national economic and social development, we will contribute to the high-quality development of the capital market in a new era, so as to celebrate the 100th anniversary of the founding of the CPC with excellent performance.
