Re-opening of IPOs paves way for reform  

(ECNS) -- China resumed initial public offerings (IPOs) in 2014 after a freeze of over a year, which has been in preparation for a market-oriented registration system reform in the country's IPO market, China Securities Journal said, citing the securities watchdog.

Xiao Gang, chairman of the China Securities Regulatory Commission (CSRC), listed the progress made in 2013 in an annual report released on Tuesday.

He said the re-opening of the Chinese mainland's exchanges to new listings comes with the establishment of a new share listing system featuring increased disclosure.

At the beginning of July, 637 Chinese companies had published preliminary IPO disclosures, according to data from CSRC. That included 40 companies that have already received approvals.

The commission set a target of supporting small and medium-sized enterprises in the past year and is establishing a multi-level market to meet different financing needs.

The commission also takes harsh measures to fight against illegal securities and futures trading. In 2013, more than 190 cases were investigated and 41 were sent to public security departments.

People who report market manipulations or illegal information disclosures are eligible for up to 300,000 yuan ($48,236) in reward money.

China has the largest, most active group of individual investors, 99 percent of whom invest less than 50,000 yuan ($8,503), Xiao said in the report. More than 90 million invest in shares, bonds and futures, while 60 million invest in publicly listed funds.