The exchange made over US$3 billion in its debut week.
Photo from CFP
By LIU Chenguang
The Beijing Stock Exchange (BSE) made more than 20 billion yuan (US$3.1 billion) in its first trading week. The average price of 10 new stocks almost doubled, while the 71 stocks transferred from the New Third Board (also known as National Equities Exchange and Quotations) fell 13.3 percent overall, meeting market expectations.
Transaction volume peaked on the first trading day and then maintained a steadier upward trend. Falls were attributed to profit-taking. According to CHEN Li, chief economist at Chuancai Securities, the daily trading volume (the first day excluded) was about three billion yuan, and companies on the exchange are now valued at over 100 billion yuan.
The exchange’s total market value is estimated at 270 billion yuan, 0.3 percent of the A-share market. Compared with Shanghai’s STAR Market and Shenzhen’s ChiNext Market, the BSE had shown itself to be more stable in its initial stage.
“Trading will stabilize as more SMEs come on board,” YANG Delong, chief economist at First Seafront Fund told Jiemian News.
There are 225 companies already awaiting IPOs in Beijing, and 340,000 new investors registered in the first trading week, taking qualified investors to 4.4 million.