Abstract:

    It is that having a calm and peaceful mind to treat to the red-trip regression which can make the barometer of China’s stock play its role more actively because of the red-chip regression. The impact of the red-chip regression is neutral. It can increase the stability of the index, and the Shanghai index will become more easily distorted.

 

    Red-chip regression can not be regarded as short-term control means.

 

    The pricing power after red chips regression lies mainly in China. Red chips will narrow the comparing price of A-shares and H shares, the links among the Hong Kong stock market and the Shanghai and Shenzhen stock markets will become increasingly tight.

 

    If we speculate overheated on blue chips, at the time of red-chip regression, it will bring pressure on the blue chips.

 

    After the red chips regression will promote the internationalization of the A-share market.

 

    If it could be finished safely the completion of conversion from the index stocks to non-target, the index will advance to the 5,000-point above.