Enforcement strategies in Chinese capital market

Abstract

This chapter discusses the varieties of enforcement channels to protect investors, especially minority shareholders in the Chinese capital market. These channels include public enforcement by regulators such as the China Securities Regulatory Authority and the stock exchanges, and private enforcement in the form of litigations enabled by corporate and securities laws. Furthermore, alternative dispute resolutions are increasingly popular to resolve disputes. In this chapter, it is argued that all these enforcement channels together function as part of a comprehensive and integrated regulatory strategy to provide the much-needed law in action to support the phenomenal economic and financial growth in the country.