Experiences and Challenges in the Development of the Chinese Capital Market

The focus of the global economy is increasingly shifted towards China and emerging countries. However, despite their high growth prospects, emerging economies often lack the sound capital market and corporate governance systems necessary to promote the efficient allocation of financial resources and to maintain the confidence of capital providers. As China becomes more prominent economically, the development of its capital market becomes an increasingly important issue.

This book presents some of the latest academic research on China's capital markets, demonstrating some of the major issues currently being faced. Pre Eminent researchers in the field examine key topics such as the performance of commercial banks, dividends and ownership, financial constraints and firm performance, the role of political networks, stock price decomposition, stock return predictability and the role of media coverage. In this book the authors use the country's institutional background to offer useful insight into policy implications for the development of China as well as other emerging economies.

Douglas Cumming is Professor of Finance and Entrepreneurship at the Schulich School of Business, York University. There he is Ontario Research Chair and teaches the MBA course 'Venture Capital and Private Equity'. His research interests include venture capital, private equity, hedge funds, mutual funds, entrepreneurship, and law and finance.

Alessandra Guariglia is Professor of Financial Economics and Head of the Departments of Economics at the University of Birmingham. Her current areas of research include the link between macroeconomic activity and finance, and the economics of transition in China. She obtained her PhD from Boston University, USA. She is an Associate Editor of theJournal of Banking and Finance and the European Journal of Finance.

Wenxuan Hou is a Reader in Finance at the University of Edinburgh. He obtained his PhD from the University of Manchester, and his research focuses on corporate finance and emerging markets. He is acting Associate Editor of the European Journal of Finance, and guest Co-Editor of special issues of Abacus, International Small Business Journal andJournal of Business Ethics.

Edward Lee is Professor of Accounting and Finance at Manchester Business School, University of Manchester. His research focuses on the interrelationship between corporate disclosure, regulatory reforms, and capital market.