People’s Liberation Army standard time administrative provisions issue – Sohu military channel

　　Newspaper Beijing, December 21 – by Zhao BoCentral Military Commission Chairman Hu Jintao recently signed order, issues “Chinese People’s Liberation Army Standard time Administrative provisions”. “Stipulation” became effective from June 1, 2010.

　　”Stipulation” insisted that takes concept as the instruction, takes the new national defense strategic concept as to monopolize, regarding the construction informationized army and warfare’s strategic target, focuses the need which the military informatization and wage military struggle prepare closely, the foothold our army equipment building development and army present management system’s reality, is clear about and satisfies urgently needed, the content concise request according to the standard, standard our army standard time each supervisory work, had the Chinese characteristic military standard time management system and operational mechanism for the establishment has provided the laws basis.

　　”Stipulation” key stipulation 3 aspect contents: Has been clear about military standard time definition and measuring unit, the military standard time maintains and sends broadcasts the organization the definite principle and sends broadcasts the request; Was clear about the entire armed forces to the centralized control military standard time request; Has been clear about the concerned department responsible for the work and correlation technique organization and management structure duty.

　　Formulates “Stipulation” is the urgent need which the military informatization and wage military struggle prepare, is establishes our army standard time management system mechanism the realistic requirement, is strengthens our army standard time legislative work the need. The “Stipulation” issue and execution, regarding enhancing standardization and the legalization level our army standard time supervisory work, have the important meaning.

Deutsche Boerse courts local IPOs

Deutsche Boerse courts local IPOs

Boasting the most attractive global location for small and medium-sized enterprises (SMEs) to go public, Deutsche Boerse AG is eying China to recruit more members.

“We are expecting at least five Chinese companies to be listed this year,” Wu Jianhong, chief representative officer of Deutsche Boerse in Beijing, told China Daily.
So far, a total of 15 mainland enterprises have listed on the Deutsche Boerse, including firms in environmental protection, information technology, consultancy and real estate. Zhongde Waste Technology Ag, a producer of garbage incinerators, was the first to debut in July 2007.
According to Wu, Deutsche Boerse listings are tailored to SMEs as it takes 100,000 euros to go public in the US and the UK, but a Deutsche Boerse listing only requires application fees ranging from 750 to 5,500 euros.
In addition, Deutsche Boerse procedures are both efficient and transparent, Wu said.
Listing overseas has become popular among Chinese enterprises, with 176 mainland companies launching IPOs around the world. Total capital raised hit $54.65 billion in 2009, up 150 percent from a year earlier.
Among them, 77 were listed in overseas markets, and capital raised topped $27.14 billion, up 292 percent year on year, according to a report by ZERO2IPO Research Center in early January.
Tim Halter, chairman and CEO of Halter Financial Group – a consulting firm that specializes in taking other companies public – pointed out that Chinese firms are desperate for capital to maintain rapid growth.
Deutsche Boerse’s Wu agreed. “There are too many IPO applicants and China’s stock market cannot hold them all,” he said. “Companies here have to wait for decades if they want to get listed at the current processing speed.”
Some Chinese firms may be unwilling or unable to wait. “Many Chinese companies will launch overseas IPOs in the near future,” said Halter.
So far, the Hong Kong stock market and NASDAQ are the two most popular listing locations for mainland enterprises.
Last year, 52 mainland companies raised a combined $24.84 billion from IPOs in Hong Kong. Meanwhile the NASDAQ attracted eight Chinese companies to raise $1.48 billion, and the New York Stock Exchange saw five companies raise $459 million.
This April, Chinese companies will get a chance to review their German listing options at the Halter Financial Summit to be held in Shanghai.
Deutsche Boerse is the world’s largest bourse by market value, the company said. It reported a total pre-tax profit of 1.51 billion euros in 2008.
As one of the world’s largest exchange organizations Deutsche Boerse provides investors, financial institutions and companies access to global capital markets. The company has approximately 3,300 employees servicing customers in Europe, America and Asia.

ChiNext stock market up — January 11

ChiNext stock market up — January 11

The ChiNext went up on Monday as 25 of the 42 shares at China’s start-up board for small and medium-sized enterprises gained.
The board, which is based in Shenzhen and started trading on October 30, 2009, is tailored to the needs of enterprises engaged in independent innovation and other enterprises with great growth potential.

HK ranks first for IPO fundraising in 2009

HK ranks first for IPO fundraising in 2009

Hong Kong ranked first globally in terms of initial public offering (IPO) fundraising in 2009, with 73 IPOs raising a total of 243.9 billion HK dollars (31.3 billion U.S. dollars), said Paul Chow, chief executive of the Hong Kong Exchanges and Clearing Limited.
Speaking at a media luncheon on Tuesday, Chow said the Hong Kong stock market relied heavily on mainland firms.
Forty-eight of the 73 newly listed firms were from the mainland. They raised 201.2 billion HK dollars (25.8 billion U.S. dollars), or 83 percent of the total raised through new listings on the Hong Kong market in 2009.
“It is very important that we further work on to attract issuers from …the mainland to seek listing in Hong Kong,” Chow said.
By the end of 2009, there were 524 mainland firms listed in Hong Kong. Their market capitalization totaled 10.4 trillion HK dollars (1.3 billion U.S. dollars), representing 58 percent of the total market capitalization. The mainland firms had 72 percent of the average daily market turnovers in 2009.
Chow said the Hong Kong exchange and its mainland counterparts can be complementary given that they can serve the needs of different firms.
The outgoing chief executive said he was confident that his successor Charles Li, who had worked for international investment banks in Beijing, Hong Kong and New York, would lead the Hong Kong exchange to further successes.
Shanghai, with a total of 14.0 billion U.S. dollars raised through new listings in the first eleven months of 2009, ranked second worldwide. New York followed with a total of 13.7 billion U. S. dollars in the first eleven months.
Accounting firm PricewaterhouseCoopers recently said it expected 60 new listings on the Hong Kong stock market in 2010 to raise a total of 300 billion HK dollars (38.5 billion U.S. dollars) , including industry giants like UC Rusal.

China OKs exchange to launch index futures

China OKs exchange to launch index futures

China’s securities regulator on Tuesday approved Shanghai-based China Financial Futures Exchange (CFFEX) to undertake stock index futures trade.
Specific launch time shall be made by the CFFEX in line with the market situation and its preparation work following the approval of certain contracts by the regulator, said China Securities Regulatory Commission (CSRC) in a statement.
The State Council on Jan. 8 approved “in principle” the launch of stock index futures and a margin-trading pilot program.
It would take about three months to prepare for the launch of stock index futures, said the CSRC on Jan. 8.
Margin trading allows securities companies to lend stocks and money to investors.
Stock index futures are agreement to buy or sell an index at a preset value on an agreed date. Index futures would give investors a mechanism to profit from declines in stock prices, allowing them to hedge risks and helping ease fluctuations in market.
The CFFEX was founded jointly by the Shanghai Futures Exchange, Zhengzhou Commodity Exchange, Dalian Commodity Exchange, Shanghai Stock Exchange and Shenzhen Stock Exchange on Sept. 8, 2006 in Shanghai.

Margin requirements for index futures to be hiked

Margin requirements for index futures to be hiked

Margin requirements for stock index futures may be hiked to 12 percent from 10 percent to control trading risks, a source close to the China Securities Regulatory Commission (CSRC) said yesterday.
The regulator will also significantly reduce the single-day maximum holding of futures contracts to 100 from 600 set previously during the trial period.
The move intends to manage the potential trading risks of the index futures, the newly approved financial tool with high leverage that allows investors to profit from declines in equity prices.
The margin requirement of a futures contract is the initial minimum amount of cash an investor must deposit in the broker’s account and needs to maintain as collateral. If the balance of the account falls below the minimum level, the broker makes a margin call to the investors for the funds needed.
One major potential risk that index futures carries for investors is that they could lose their entire capital while also facing the risk of owing huge debts to the broker that makes the margin call.
The government had earlier lifted the margin requirement for index futures from 6 percent to 10 percent during the trial period.
Analysts said the 12 percent threshold for margin requirement is reasonable as it helps shield inexperienced investors against potential risks from the new financial instrument.
“It is a good thing that the regulator keeps the threshold high to limit the initial number of traders,” said Liao Qing, an analyst with Sealand Securities.

“I think the regulator would lower the margin requirement in the future when the market is familiar with the risks of the new financial tool as it gradually expands into more investors,” Liao said.
CSRC has also stipulated that individual investors must have a minimum of 500,000 yuan to trade in stock index futures and also be experienced in futures trading and simulated trading of index futures.
Investors will also be required to complete a training course and pass a test before they are allowed to trade in index futures. But some analysts said the minimum capital requirement should be much higher than 500,000 yuan given the high risks in index futures that allows investors to bet on price declines.
“A short position is much more risky than a long position. You lose 100 percent if the stock price drops from 1 yuan to 0 yuan. But the rise could be infinite,” said Li Daxiao, head of the research institute with Yingda Securities. He said investors would require high level of risk tolerance and adequate capital to trade in the new instrument.
Meanwhile, the Shanghai-based China Financial Futures Exchange has got approval to launch the country’s first stock index futures.

China Enterprises Index downs 1.16%

China Enterprises Index downs 1.16%

The Hang Seng China Enterprises Index on the Hong Kong Stock Exchange went down 151.66 points, or 1.16 percent, to close Tuesday’s trading at 12,967.37.
The H-shares index, initiated in August 1994 and readjusted on Sept. 7, 2009, tracks the overall performance of 44 major Chinese mainland state-owned enterprises listed on the Hong Kong Stock Exchange.
The Hang Seng China H-Financials Index dropped 254.67 points, or 1.43 percent, to close at 17,554.83.
The H-Financials Index, initiated on Nov. 27, 2006, readjusted on Sept. 10, 2007, tracks the performance of nine major banks and insurers of the Chinese mainland.
The Hang Seng Mainland Composite Index moved down 9.05 points, or 0.22 percent, to close at 4,189.73.
Introduced on Oct. 3, 2001 with the latest readjustment effective on March 9, 2009, the Hang Seng Mainland Composite Index gauges the performance of 132 Hong Kong-listed companies with principal places of business in Hong Kong and the Chinese mainland.
The Hang Seng China-Affiliated Corporations Index went up 45.13 points, or 1.07 percent, to close at 4,263.59.
The index tracks the performance of 34 locally listed companies with a significant equity interest held by entities in the Chinese mainland.

China stocks rise led by heavyweights, auto makers

China stocks rise led by heavyweights, auto makers

Chinese shares on both the Shanghai and Shenzhen exchanges rose Tuesday, led by heavyweights and car companies as official data out Monday showed China overtaking the U.S. as the world’s biggest auto market.
The benchmark Shanghai Composite Index gained 1.91 percent, or 61.22 points, to close at 3,273.97 points.
The Shenzhen Component Index rose 1.67 percent, or 220.16 points, to close at 13,381.25 points.
Combined turnover totaled 294.3 billion yuan (43.1 billion U.S.dollars), expanding from 280.69 billion yuan the previous trading day.
Gainers outnumbered losers by 798 to 82 in Shanghai and 733 to 94 in Shenzhen.
PetroChina Co. Ltd., Asia’s largest oil producer, gained 4.08 percent to 14.28 yuan. China Petroleum and Chemical Corp., Asia’s largest refiner, advanced 2.23 percent to 13.32 yuan.
The Industrial and Commercial Bank of China, the country’s biggest commercial lender, rose 0.76 percent to 5.34 yuan. Bank of China added 1.17 percent to 4.32 yuan, and Bank of Communications rose 1.22 percent to 9.11 yuan.
China Life, the leading life insurer in China, gained 1.65 percent to 30.11 yuan; China Vanke Co., the country’s largest property developer by market value, also rose 1.08 percent to 10.29 yuan.
Shares of car companies rose across the board after official data showed China had overtaken the U.S. as the world’s biggest car market.
The China Association of Automobile Manufacturers said Monday auto sales reached 13.64 million units in 2009, up 46.15 percent year on year with output rising 48.3 percent to 13.79 million units.
Shanghai-based SAIC Motor Corp. Ltd. gained 3.49 percent to 23.16 yuan. Chongqing Changan Automobile rose 1.97 percent to 13.49 yuan. Jiangling Motors Corp. Ltd. also advanced 3.3 percent to 21.6 yuan.
Futures-related shares declined. Zhejiang Zhongda Group Co., Ltd. lost 2.89 percent to 24.55 yuan. China CIFCO Investment Co. Ltd. fell 1.65 percent to 37.5 yuan.

Hong Kong stocks end 0.38% lower after moving higher

Hong Kong stocks end 0.38% lower after moving higher

Hong Kong stocks ended 0.38 percent lower at 22,326.64 on Tuesday after moving around the previous market close of 22,411.52, with analysts warning against slightly increasing downside risks in the near term.
The benchmark Hang Seng Index joined regional markets to open at 22,378.23, down 33.29 points, or 0.15 percent, after metal mining giant Alcoa reported slightly disappointing quarterly results overnight to usher in the earnings season.
The blue chip index widened its losses in early morning trading, but rebounded back to the day’s high of 22,476.12 on the strength of the mainland market before closing down 0.38 percent. Turnover rose to total 81.22 billion HK dollars (10.41 billion U.S. dollars) from Monday’s 74.18 billion HK dollars (9.51 billion U.S. dollars).
Analysts tipped slightly increasing downside risks for the HangSeng Index in the near term, with resistance at 22,600 or slightly higher and support at 22,000. The Hang Seng Index futures were trading at a discount of 86 points at 22,241.
Three of the four sub-indexes closed lower on Tuesday, with the finance category down 1.19 percent, utilities down 0.53 percent and properties down 0.22 percent. The commerce and industry sub-index was the only gainer, moving up 0.72 percent.
Market heavyweight HSBC moved down 0.75 HK dollars, or 0.81 percent, to close at 91.65 HK dollars. China Mobile, the leading mobile carrier on the Chinese mainland, surged 2.4 percent to 76. 65 HK dollars on improving hopes in its 3G operation.
The mainland banks were lower, dragged by expectations that some of the banking giants would have to raise more money from the market this year. China Construction Bank shed 2.13 percent, ICBC shed 2.23 percent and Bank of China, 2.36 percent.
Lower oil prices pushed the share price of offshore oil producer CNOOC 0.45 percent lower and that of business conglomerate 0.59 percent lower. Sinopec, the giant operating mainly in refining, gained 0.89 percent at 6.81 HK dollars.
Cheung Kong, the business conglomerate headed by Hong Kong’s richest man Li Ka-shing, ended 0.2 percent lower at 101.6 HK dollars. Hutchison Whampoa, controlled by Cheung Kong, surged 3.17percent to close at 58.6 HK dollars on a rating upgrade.
The shipping chips continued to gain on improving trade outlook, with COSCO Pacific surging 0.42 HK dollars, or 3.36 percent, at 12. 9 HK dollars. (7.8 HK dollars = 1 U.S. dollar)

New hydro project kicked off in Sichuan

New hydro project kicked off in Sichuan

Construction on a major hydro project on a tributary of the Yangtze River started Wednesday in southwest China’s Sichuan province.
The Tingzikou Hydro Junction Project on the middle reaches of the Jialing River mainly aims at flood prevention, irrigation, water supply and power generation.
The project was listed among the 18 new key projects in 2009 in the strategy to develop western China, as announced by the National Development and Reform Commission in October.
The total investment volume for the project is 15.89 billion yuan ($2.3 billion). It is expected to be completed in six years and nine months.
The project will include 20 hydropower stations with a total installed capacity of 1.1 million kilowatts and will produce three billion kilowatt-hour electricity a year.
“The project is conducive to safeguarding the flood control and water supply, optimizing the power supply, improving the navigation capacity and prompting economy in the area,” said Liu Qibao, the Sichuan provincial Party secretary.
The project will affect or inundate 151 villages in 35 towns in the city of Guangyuan involving more than 20,000 people, said Luo Qiang, the Guangyuan municipal Party secretary.
A total of 255 families have been relocated so far, Luo said.