A Comparative Study of China and the US Delisting System

Abstract

The difficulty of delisting is an urgent problem to be solved in China’s securities market. Whether the delisting mechanism is smooth is the touchstone to measure the maturity of the securities market. This paper makes a comparative analysis of the delisting system in China and the United States from the angle of the standard and procedure of delisting and the effect of implementation. It is found that the effect of the delisting system in China is not good, and the delisting system is not the same, then analyzes the reasons of the difference between the implementation effect of China-US delisting system. This paper holds that the standard of delisting has been basically established, but it needs further improvement, and the special treatment period should be abolished in the delisting procedure. In addition, we should improve the legal standards, increase punishment, gradually implement the registration system, and give full play to the role of “barometer” of the securities market. I hope to provide reference for the further improvement of China’s delisting system.