Ｒｅｆｏｒｍｉｎｇ ｔｈｅ ＩＰＯ Ｔｒａｄｉｎｇ Ｍｅｃｈａｎｉｓｍ

ＴＡＮ　ＷＥＩ

Zijin Mining Group Co. Ltd. (SH.601899) initial public offering (IPO) was a nightmare for the current IPO system.

On April 25, the first day of its debut on the Shanghai Securities Exchange ($SE), Zijin Mining's share price soared as high as 21.6 yuan ($3.1) from a mark of l0 yuan ($1.5) in just one hour during afternoon trad-ing time. The SSE halted its trading activity at 2:25 p.m. and resumed it again half an hour later. In the five minutes between 2:55 ondary market. It means the holders of IPO can be guaranteed high income at low risk. Wang suggested the fundamental method to resolve the problem was to narrow the price gap on the primary market and the secondary market.