Chinese Stock Market Timeline
    2009-09-23 07:06:31     CRIENGLISH.com       Web Editor: Hu Weiwei

1984

The first physical share in China was issued by the Shanghai-based Feilo Acoustics in 1984, six years after China's launch of its economic reform and opening-up.

1988

Yang Huaiding, a former warehouse keeper in Shanghai, earned his "first bucket of gold" through treasury-bond trade and became a millionaire in 1988, when a "Wanyuanhu", or a new upstart who had earned his first bucket of over ten-thousand-yuan big money, was still rare in China. Thus, Yang Huaiding was given a nickname "Yang Million".

1990~1991

The Shanghai Stock Exchange, China's first stock market, was put into operation on December 19th, 1990. The Shenzhen Stock Exchange, the second of China's two largest stock exchanges, was also put into operation on July 3, the next year. The two establishments are considered to be the engines that drive China's market economy on a fast track.

1992

Vacuum B was listed on February 21, 1992 on the Shanghai Stock Exchange and Shennanbo B was first traded on February 28, 1992 on the Shenzhen Stock Exchange. The IPO of the two B-shares announced the birth of China's B share market. The B share index in Shanghai opened at 129.86 on February 21, 1992 and closed at 140.85 in May the same year. It marked the highest short term rally in the history of B share market in China.

China Securities Regulatory Commission (CSRC), the policy watchdog of China's stock markets, was established on October 12, 1992.

1993

On July 15, 1993, Tsingtao Brewery Ltd. was listed on Hong Kong Stock Exchange, making it the first mainland company to be listed on an overseas stock exchange.

1999

Securities Law of the People's Republic of China took effect on July 1, 1999.

2002

The State Council formally cancelled a provisional regulation requiring listed companies to sell part of their state holdings through domestic initial public offerings (IPOs) and additional share offers in June, 2002.

2004

The Law of the People's Republic of China on Funds for Investment in Securities, being drafted since 1999, took effect on June 1, 2004. It is the first in China to regulate the nation's new securities fund industry.

2005

On September 12, 2005, China's two stock markets unveiled the names of 40 domestically listed firms and their compensation offers to seek the right to float their non-tradable shares, marking the beginning of the country's historic stock market restructuring. The companies included Shanghai Automotive and Minsheng Bank. The reform is regarded as the "most significant" in China after the nation set up its stock markets in the early 1990s.

2006

ICBC, the Industrial & Commercial Bank of China, also the country's largest lender, launched the world's biggest initial public offering (IPO) in both the Shanghai and Hong Kong Stock Exchanges on October 27, 2006.

2007

The number of stock accounts in China exceeded 100 million for the first time in May, 2007.

The Chinese mainland stock market reached an all-time high of 6,124.04 points on October 16, 2007. It took only 575 trading days for the Shanghai Stock Market's composit index to surge from 998 points to 6,124.04 points.

2008

China's Ministry of Finance announced it intended to cut the share trading stamp tax from 0.3 percent to 0.1 percent from the next day in an effort to boost the equities market on April 23, 2008. The mainland stock market surged again the next day.

2009

China announced the launch of a growth enterprise board on May 1, 2009 as a new direct financing platform for innovative companies. Companies that seek listing at the new Nasdaq-like second board should have net assets of at least 20 million yuan and have been open for business for more than three years.